8-KOther EventsExhibits & Filings

MOODYS CORP /DE/ 8-K Report, Corporate Update (Jun 7, 2018)

Filed June 7, 2018For Securities:MCO

Summary

Moody's Corporation (MCO) filed an 8-K report on June 7, 2018, detailing the issuance and sale of $300 million in 3.250% Senior Notes due 2021. This offering, registered under a prior Form S-3 filing, was executed through an underwriting agreement with major financial institutions. The net proceeds from this debt issuance are designated for general corporate purposes, with a specific mention of potentially repaying a portion of the $350 million outstanding under a loan agreement used to finance the acquisition of Bureau van Dijk Electronic Publishing B.V. The notes carry a fixed interest rate and mature in June 2021, with provisions for redemption by the company and a potential purchase obligation upon a Change of Control Triggering Event.

Key Highlights

  • 1Moody's Corporation successfully issued $300 million in 3.250% Senior Notes due 2021.
  • 2The notes were issued under an underwriting agreement and registered via a prior Form S-3 filing.
  • 3Net proceeds are intended for general corporate purposes, including potential repayment of acquisition-related debt (Bureau van Dijk acquisition).
  • 4The notes mature on June 7, 2021, with semiannual interest payments on June 7 and December 7.
  • 5The company has the option to redeem the notes on or after May 7, 2021.
  • 6Holders have the option for the company to purchase notes upon a 'Change of Control Triggering Event'.
  • 7The indenture includes covenants that restrict liens, sale and leaseback transactions, and consolidations/mergers.

Frequently Asked Questions

This 8-K filing announces and provides details regarding Moody's Corporation's issuance and sale of $300 million in 3.250% Senior Notes due 2021, including terms of the offering and use of proceeds.

The net proceeds are intended for general corporate purposes, which may include repaying a portion of the outstanding debt incurred to finance the acquisition of Bureau van Dijk Electronic Publishing B.V.

The notes bear a fixed interest rate of 3.250% per year, mature on June 7, 2021, and interest is paid semiannually. The company has redemption options, and noteholders have a purchase option in case of a Change of Control Triggering Event.

Yes, the indenture governing these notes includes covenants that limit Moody's and certain subsidiaries' ability to incur liens, enter into sale and leaseback transactions, and merge or sell substantially all of its assets.