Summary
Newmont Goldcorp Corporation (NEM) announced the closing of its sale of $700 million in 2.800% Senior Notes due 2029. The primary use of the net proceeds, approximately $690 million after underwriting discounts, is to repay the company's $626 million in 5.125% senior notes maturing on October 1, 2019. Any remaining funds will be used for general corporate purposes. This refinancing initiative aims to manage upcoming debt maturities and potentially lower interest expenses. The issuance of these notes is a direct financial obligation of the company, backed by a senior unsecured guarantee from Newmont USA Limited. The notes are unsecured and rank equally with other senior unsecured debt. The company has also entered into a third supplemental indenture to govern the terms of these new notes, which include provisions for redemption and repurchase upon a change of control event. This filing provides investors with details on the terms and conditions of this significant debt issuance.
Key Highlights
- 1Newmont Goldcorp closed on a $700 million issuance of 2.800% Senior Notes due 2029.
- 2Proceeds will be used primarily to repay $626 million in 5.125% senior notes maturing on October 1, 2019.
- 3The offering generated approximately $690 million in net proceeds after underwriting discounts.
- 4The notes are senior unsecured obligations, guaranteed on a senior unsecured basis by Newmont USA Limited.
- 5The Indenture includes provisions for redemption at the company's option and a repurchase right for noteholders in case of a Change of Control Repurchase Event.
- 6The filing includes copies of the Third Supplemental Indenture, the form of the Notes, and the form of Guaranty as exhibits.