Summary
Amcor plc (AMCR) has announced the pricing of a private offering of $2.2 billion in guaranteed senior notes by its subsidiary, Amcor Flexibles North America, Inc. (AFNA). These notes are being issued across three tranches with varying maturities and interest rates: US$725 million of 4.800% notes due 2028, US$725 million of 5.100% notes due 2030, and US$750 million of 5.500% notes due 2035. The proceeds from this offering are earmarked for the repayment of existing indebtedness related to Amcor's pending merger with Berry Global Group, Inc. (Berry). This financing is a crucial step in facilitating the completion of the Berry merger, which remains subject to customary closing conditions and the 'Outside Date' specified in the merger agreement.
Key Highlights
- 1Amcor's subsidiary, AFNA, priced a $2.2 billion private offering of guaranteed senior notes.
- 2The notes are offered in three tranches: $725M (4.800% due 2028), $725M (5.100% due 2030), and $750M (5.500% due 2035).
- 3Proceeds will be used to repay existing indebtedness of Berry Global Group, Inc. in connection with the pending merger.
- 4The offering is expected to close on March 17, 2025.
- 5All notes, except the 2028 tranche, will be subject to special mandatory redemption if the Berry merger is not consummated by a specified date.
- 6The notes are being offered to qualified institutional buyers (QIBs) and certain non-U.S. persons under Rule 144A and Regulation S, respectively.
- 7The financing directly supports Amcor's strategic acquisition of Berry Global Group.