Summary
Honeywell International Inc. (HON) filed an 8-K report on May 18, 2020, detailing significant financing activities. The company completed a public offering of $3 billion in senior notes across three maturities: 2025 (1.350%), 2030 (1.950%), and 2050 (2.800%). These notes were issued under the company's existing shelf registration statement and were governed by an established indenture. In conjunction with this debt issuance, Honeywell also provided notice to permanently reduce its unused commitments under a Delayed Draw Term Loan Agreement by $3 billion, effective May 22, 2020. The company confirmed its intention to draw the remaining available balance under this term loan prior to June 26, 2020. These actions suggest a proactive approach to managing its capital structure and liquidity.
Key Highlights
- 1Completed a $3 billion public offering of senior notes with maturities in 2025, 2030, and 2050.
- 2The senior notes carry coupon rates of 1.350% (2025), 1.950% (2030), and 2.800% (2050).
- 3The offering was conducted under an existing shelf registration statement filed in December 2018.
- 4Provided notice to permanently reduce unused commitments under a Delayed Draw Term Loan Agreement by $3 billion.
- 5The permanent reduction of the term loan commitment is effective May 22, 2020.
- 6Intends to draw the remaining balance of the Delayed Draw Term Loan Agreement by June 26, 2020.
- 7As of the filing date, no amounts had been drawn under the Delayed Draw Term Loan Agreement.