Energizer Holdings, Inc. Prices Senior Notes and Term Loan Add-On

By Bobby Samwell • Thursday, September 11 06:03 • Permanent Link

Energizer Holdings, Inc. (NYSE: ENR) has announced the pricing of its senior notes offering and term loan add-on. The company priced $400 million in aggregate principal amount of 6.00% senior notes due 2033, representing an increase from the initially announced offering size of $300.0 million. The notes will be guaranteed, jointly and severally, on an unsecured basis, by certain of the company’s domestic restricted subsidiaries.

In addition, Energizer completed a $100 million add-on to the existing term loan maturing in 2032. The term loan will continue to bear an interest rate equal to secured overnight financing rate (SOFR) plus 200 basis points per annum.

The transactions are leverage neutral and are expected to extend the company’s debt maturity profile and reduce interest expense. The net proceeds from the notes and term loan add-on will be used to redeem all of the company’s outstanding 6.50% senior notes due 2027, repay amounts due on the revolving credit facility, and for general corporate purposes.

The notes and related guarantees are being offered for sale to qualified institutional buyers in an offering of notes exempt from registration pursuant to rule 144a under the Securities Act of 1933, as amended, and to non-U.S. persons outside the United States in compliance with Regulation S under the Securities Act.

This press release does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation, or sale in any jurisdiction in which such offering, solicitation, or sale would be unlawful.

Energizer Holdings, Inc. is one of the world’s largest manufacturers and distributors of primary batteries, portable lights, and auto care appearance, performance, refrigerant, and fragrance products. The company's portfolio of globally recognized brands includes Energizer, Armor All, Eveready, Rayovac, STP, Varta, A/C Pro, Refresh Your Car!, California Scents, Driven, Bahama & Co., Lexol, Eagle One, Nu Finish, Scratch Doctor, and Tuff Stuff. Energizer's mission is to be the leader in its categories by better serving consumers and customers. Following these announcements, the company's shares moved -0.4%, and are now trading at a price of $28.425. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.