Summary
Parker-Hannifin Corporation (PH) has filed an 8-K report detailing the pricing of a new debt offering. The company will issue €700 million in senior notes due in 2030, carrying a 2.900% annual interest rate. These notes are scheduled to mature on March 1, 2030, with interest paid annually. The primary purpose of this offering is to refinance existing debt, specifically its 1.125% senior notes due in 2025. The net proceeds, along with available cash, will be used to repay these maturing notes. Pending this repayment, the company may temporarily invest the proceeds in interest-bearing accounts or short-term securities, or use them to repay short-term indebtedness. The offering is expected to close around February 20, 2025, subject to standard closing conditions.
Key Highlights
- 1Parker-Hannifin priced a €700 million offering of senior notes due 2030.
- 2The new notes will bear an annual interest rate of 2.900%.
- 3Proceeds will be used to repay the company's 1.125% senior notes maturing in 2025.
- 4The offering is expected to close on or about February 20, 2025.
- 5The offering was registered under the Securities Act of 1933 via a Form S-3 registration statement.
- 6The company entered into an underwriting agreement with Citigroup Global Markets Limited, HSBC Bank plc, and Morgan Stanley & Co. International plc.