DUBLIN - Smurfit Westrock plc, an Irish public limited company, has announced the issuance of senior notes through its subsidiaries, amounting to a total of approximately $1.45 billion. The company filed a Form 8-K with the U.S. Securities and Exchange Commission on Wednesday, disclosing the completion of its latest offerings.
On Monday, Smurfit Westrock's subsidiary, Smurfit Westrock Financing Designated Activity Company, issued $850 million in 5.418% senior notes due 2035. Concurrently, Smurfit Kappa (IR:SKG) Treasury Unlimited Company, another subsidiary, issued €600 million in 3.454% senior notes due 2032 and an additional €600 million in 3.807% senior notes due 2036.
The offerings, conducted in both U.S. dollars and euros, are intended to fund the redemption of existing debt and for general corporate purposes. Specifically, the proceeds will be used to redeem the outstanding $750 million in 4.650% senior notes due 2026 and €1,000 million in 2.875% senior notes due 2026, both set to be redeemed in early December 2024.
In addition to debt redemption, Smurfit Westrock plans to allocate an amount equivalent to the proceeds to finance or refinance a portfolio of eligible green projects, aligning with its Green Finance Framework.
The company also disclosed the amendment and restatement of the WRKCo Commercial Paper Program on November 21, 2024, which now includes the USD Issuer as a guarantor. This update to the commercial paper program follows a previous amendment on July 5, 2024, and retains the same terms, including the dealers involved in the program.
This financial maneuvering is part of Smurfit Westrock's broader strategy to manage its debt portfolio and invest in sustainable projects. The Form 8-K filing and further details about the offerings are available on the SEC's website and Smurfit Westrock's investor relations page.
The information in this article is based on a press release statement from Smurfit Westrock plc.
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