Ball Corporation Announces Public Offering of Senior Notes

Rhea-AI Summary

Ball Corporation (NYSE: BALL) has announced a public offering of $750 million Senior Notes due 2033. The company plans to use the net proceeds for general corporate purposes, including potential debt refinancing or repayment.

Prior to the final allocation of proceeds, Ball intends to repay outstanding borrowings under its U.S. dollar and multi-currency revolving credit facilities using a portion of the net proceeds along with cash on hand. The offering is being coordinated by BofA Securities, Goldman Sachs, Citigroup Global Markets, and Morgan Stanley as joint book-running managers.

Positive

• None.

Negative

• Increased debt load with new Senior Notes issuance
• Additional interest expense burden from new notes through 2033

Insights

Corporate Finance Analyst

Ball Corp raising $750M in senior notes to refinance debt and maintain financial flexibility, a routine capital structure adjustment.

Ball Corporation has announced a $750 million senior notes offering maturing in 2033. This debt issuance appears to be primarily focused on debt restructuring rather than expansion capital, as the company explicitly states the proceeds will go toward general corporate purposes including refinancing existing debt.

The company's strategy to repay outstanding borrowings under its revolving credit facilities without reducing commitments is noteworthy. This approach maintains Ball's liquidity cushion and financial flexibility while potentially optimizing its debt maturity profile and interest expense structure.

The 8-year tenor of these notes indicates Ball is securing medium-term financing, which could potentially lock in current interest rates before any future rate fluctuations. The caliber of the underwriting team - featuring four major financial institutions as global coordinators - suggests strong institutional interest in Ball's debt.

Without specifics on the interest rate or complete details of Ball's existing debt structure, this appears to be a routine liability management exercise. For a manufacturing company with substantial capital requirements like Ball, maintaining an optimized debt structure through periodic refinancing is standard practice. This transaction likely represents prudent financial management rather than signaling any fundamental change in the company's trajectory or operations.

WESTMINSTER, Colo., Aug. 7, 2025 /PRNewswire/ -- Ball Corporation ("Ball") (NYSE: BALL) announced today that it has commenced an underwritten public offering of $750 million aggregate principal amount of Senior Notes due 2033 (the "Notes"). The exact amount, terms and timing of the offering will depend upon market conditions and other factors.

Ball intends to use the net proceeds from the offering for general corporate purposes, which may include the refinancing or repayment of debt. Prior to the application of such proceeds, Ball intends to repay outstanding borrowings under its U.S. dollar and its multi-currency revolving credit facilities, without a reduction in commitment, using a portion of the net proceeds from the offering, together with cash on hand. The exact allocation of such proceeds and the timing thereof is at the discretion of Ball's management.

BofA Securities, Goldman Sachs & Co. LLC, Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC are acting as global coordinators and joint book-running managers of the offering of the Notes.

Ball is making the offer pursuant to an effective shelf registration statement on Form S-3 previously filed with the Securities and Exchange Commission. The offering of the Notes is being made solely by means of a prospectus supplement and accompany prospectus. Copies of the preliminary prospectus supplement and accompany prospectus relating to the offering may be obtained via mail from BofA Securities, Inc. at BofA Securities, NC1-004-03-43, 200 North College Street, 3rd floor, Charlotte NC 28255-0001, Attention: Prospectus Department or by emailing: dg.prospectus_requests@bofa.com; from Goldman Sachs & Co. LLC at Goldman Sachs & Co. LLC, 200 West Street, New York, New York 10282-2198, Attention: Registration Department or by emailing: registration-syndops@ny.email.gs.com; from Citigroup Global Markets Inc. at 1 (800) 831-9146 or by emailing prospectus@citi.com; and from Morgan Stanley & Co. LLC at 180 Varick Street, 2nd Floor New York, NY 10014, Attn: Prospectus Department, by phone at 1 (866) 718-1649 or by emailing prospectus@morganstanley.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Ball Corporation

Ball Corporation supplies innovative, sustainable aluminum packaging solutions for beverage, personal care and household products customers. Ball Corporation employs 16,000 people worldwide and reported 2024 net sales of $11.80 billion, which excludes the divested aerospace business.

Forward-Looking Statements

This release contains "forward-looking" statements concerning future events, including, but not limited to, Ball's ability to consummate the offering and issue the Notes and the intended use of proceeds of the offering. Words such as  "intends," "will," "expects" and similar expressions typically identify forward looking statements, which are generally any statements other than statements of historical fact. Such statements are based on current expectations or views of the future and are subject to risks and uncertainties, which could cause actual results or events to differ materially from those expressed or implied. You should therefore not place undue reliance upon any forward-looking statements, and they should be read in conjunction with, and qualified in their entirety by, these cautionary statements. Ball undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Key factors, risks and uncertainties that could cause actual outcomes and results to be different are summarized in filings with the Securities and Exchange Commission, including Exhibit 99 in Ball's Form 10-K.

 

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SOURCE Ball Corporation

FAQ

What is the size of Ball Corporation's (NYSE: BALL) new Senior Notes offering?

Ball Corporation announced a $750 million Senior Notes offering due 2033.

How will Ball Corporation use the proceeds from its 2033 Senior Notes offering?

Ball plans to use the proceeds for general corporate purposes, including debt refinancing or repayment, with initial use to repay outstanding borrowings under its revolving credit facilities.

Which investment banks are managing Ball Corporation's 2033 Notes offering?

The offering is being managed by BofA Securities, Goldman Sachs, Citigroup Global Markets, and Morgan Stanley as global coordinators and joint book-running managers.

When will Ball Corporation's new Senior Notes mature?

The newly announced Senior Notes are scheduled to mature in 2033.

How is Ball Corporation (BALL) offering these new Senior Notes?

Ball is offering the Notes through an effective shelf registration statement on Form S-3 previously filed with the SEC, using a prospectus supplement and accompanying prospectus.