CROWN HOLDINGS, INC. ANNOUNCES PRICING OF SENIOR NOTES

Rhea-AI Summary

Crown Holdings, Inc. (NYSE: CCK) has announced the pricing of €600 million aggregate principal amount of 4.500% senior unsecured notes due 2030. The notes, issued at par by Crown's subsidiary Crown European Holdings S.A., will be unconditionally guaranteed by Crown and certain subsidiaries. Crown intends to use the net proceeds, along with cash on hand, to pay at maturity its outstanding 2.625% senior notes due in September 2024 and related fees and expenses.

The notes will be issued through a private placement and resold to qualified institutional buyers under Rule 144A and non-U.S. persons outside the United States under Regulation S of the Securities Act. The notes are not registered under the Securities Act and cannot be offered or sold in the United States without registration or an applicable exemption.

Positive

• Successful pricing of €600 million in senior unsecured notes
• Notes issued at par, indicating strong market demand
• Proceeds will be used to refinance existing debt, potentially improving financial structure

Negative

• Increase in long-term debt with new 4.500% notes
• Potential increase in interest expenses compared to the 2.625% notes being repaid

News Market Reaction

+1.53%

1 alert

+1.53% News Effect

On the day this news was published, CCK gained 1.53%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

TAMPA, Fla., July 30, 2024 /PRNewswire/ -- Crown Holdings, Inc. (NYSE: CCK) announced today that it has priced an offering of €600 million aggregate principal amount of 4.500% senior unsecured notes due 2030 issued at par by its subsidiary Crown European Holdings S.A.

The notes will be unconditionally guaranteed by Crown and certain of its subsidiaries.

Crown intends to use the net proceeds from the offering, together with cash on hand, to pay at maturity Crown's outstanding 2.625% senior notes due in September 2024 and to pay related fees and expenses.

The notes would be issued through a private placement and resold by initial purchasers to persons reasonably believed to be qualified institutional buyers under Rule 144A under the Securities Act of 1933, as amended, and to non-U.S. persons outside the United States under Regulation S of the Securities Act. The notes would not be registered under the Securities Act and could not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security in any jurisdiction in which such offer or sale would be unlawful.

Cautionary Note Regarding Forward-Looking Statements

Except for historical information, all other information in this press release consists of forward-looking statements within the meaning of the federal securities laws. These forward-looking statements involve a number of risks, uncertainties and other factors, including regarding the expected completion of the note offering and the prospective impact of the note offering and plans to repay certain indebtedness with the proceeds from the offering, any of which may cause the actual results to be materially different from those expressed or implied in the forward-looking statements. Other important factors that could cause the statements made in this press release or the actual results of operations or financial condition of Crown to differ include, without limitation, that the note offering is subject to a number of conditions and approvals. There can be no assurance that the note offering will be completed as described herein or at all. Other important factors are discussed under the caption "Forward-Looking Statements" in Crown's Form 10-K Annual Report for the year ended December 31, 2023 and in subsequent filings made prior to or after the date hereof. Crown does not intend to review or revise any particular forward-looking statement in light of future events.

No PRIIPs KID

Not for retail investors in the European Economic Area ("EEA") or the United Kingdom. No PRIIPs key information document (KID) has been prepared as not available to retail investors in the EEA or the United Kingdom.

About Crown Holdings, Inc.

Crown Holdings, Inc., through its subsidiaries, is a leading global supplier of rigid packaging products to consumer marketing companies, as well as transit and protective packaging products, equipment and services to a broad range of end markets. World headquarters are located in Tampa, Florida. For more information, visit www.crowncork.com.

For more information, contact: Thomas T. Fischer, Vice President, Investor Relations and Corporate Affairs, (215) 552-3720

View original content:https://www.prnewswire.com/news-releases/crown-holdings-inc-announces-pricing-of-senior-notes-302210295.html

SOURCE Crown Holdings, Inc.

FAQ

What is the interest rate and maturity of Crown Holdings' (CCK) new senior notes?

Crown Holdings (CCK) has priced €600 million of 4.500% senior unsecured notes due 2030.

How will Crown Holdings (CCK) use the proceeds from the new senior notes?

Crown Holdings (CCK) intends to use the net proceeds, along with cash on hand, to pay at maturity its outstanding 2.625% senior notes due in September 2024 and related fees and expenses.

Are Crown Holdings' (CCK) new senior notes registered under the Securities Act?

No, the new senior notes are not registered under the Securities Act and cannot be offered or sold in the United States without registration or an applicable exemption.

Who is guaranteeing Crown Holdings' (CCK) new senior notes?

The new senior notes will be unconditionally guaranteed by Crown Holdings, Inc. (CCK) and certain of its subsidiaries.