2023-03-08 06:38:05 ET
- Magna International ( NYSE: MGA ) on Wednesday launched a debt offering to fund a portion of the cost of its proposed acquisition of the Veoneer Active Safety business and for general corporate purposes.
- The offering comprises two series of U.S. dollar denominated senior notes, issued in $800M principal amount, and one series of Euro denominated senior notes, issued in €550M principal amount.
- The $300M of Series 1 U.S. dollar senior notes, maturing on March 21, 2026, will bear an annual interest rate of 5.980%, while $500M Series 2 U.S. dollar senior notes, maturing on March 21, 2033, will bear 5.5% interest rate.
- Net proceeds from the offering of U.S. dollar senior notes will be used to finance a portion of the cost of its proposed acquisition of the Veoneer acquisition, to pay related fees and expenses, and for general corporate purposes, which may include the repayment of its existing indebtedness.
- Magna intends to use the net proceeds from the Euro senior notes for general corporate purposes, which may include the repayment of its existing indebtedness.
For further details see:
Magna launches debt offering to fund Veoneer acquisition