Embraer Stock Price, News & Analysis

Embraer S.A. (NYSE: ERJ) has announced the consideration details for its previously announced cash tender offer to purchase up to US$150,000,000 of its outstanding 6.950% senior unsecured guaranteed notes due 2028. The notes were issued by Embraer Netherlands Finance B.V. and are fully guaranteed by Embraer.

Holders who validly tendered their notes by February 19, 2025 (Capped Early Tender Date) will receive the Capped Total Consideration, which includes a Capped Early Tender Payment of US$50.00 per US$1,000 principal amount, plus accrued interest. As the tender offer was oversubscribed at the Early Tender Date, Embraer will accept US$150,000,000 principal amount of notes, and no additional tenders will be accepted.

Payment will be made on February 21, 2025, and the tender offer will expire on March 6, 2025. The company has engaged multiple prominent financial institutions as dealer managers for the offer.

Embraer S.A. (NYSE: ERJ) has announced the early results of its tender offer to purchase up to US$150 million of its outstanding 6.950% senior unsecured guaranteed notes due 2028. As of the early tender date (February 19, 2025), US$205,212,000 in aggregate principal amount was validly tendered, resulting in an oversubscription.

Due to oversubscription, Embraer will apply a proration factor of approximately 60.3% to the tendered notes. The company will not accept any additional tenders after the early tender date. The early settlement date is expected to be February 21, 2025, where holders will receive the Capped Total Consideration for accepted notes.

All conditions described in the Offer to Purchase have been satisfied, and Embraer has engaged multiple financial institutions as dealer managers for the tender offer, including Citigroup, Goldman Sachs, J.P. Morgan, Morgan Stanley, and PNC Capital Markets.

Embraer S.A. (NYSE: ERJ) has announced the completion of its cash tender offer for the 5.400% senior unsecured guaranteed notes due 2027. The tender offer, which expired on February 11, 2025, resulted in US$249,651,000 of notes being tendered out of the US$522,035,000 total outstanding amount.

The company offered US$1,012.18 per US$1,000 principal amount of notes, plus accrued and unpaid interest. Following the settlement, US$272,384,000 of the 2027 Notes will remain outstanding. All conditions described in the Offer to Purchase, including the Financing Condition, have been satisfied, and Embraer has accepted all validly tendered notes for purchase.

Embraer S.A. (NYSE: ERJ) has announced the consideration details for its cash tender offer to purchase any and all outstanding 5.400% senior unsecured guaranteed notes due 2027. The notes, originally issued by Embraer Netherlands Finance B.V., have an outstanding principal amount of US$522,035,000.

The Any and All Total Consideration is set at US$1,012.18 per US$1,000 principal amount of notes, calculated based on a Fixed Spread of 45 bps plus the reference yield of 4.292%. The tender offer expires at 5:00 p.m., New York City time, on February 11, 2025, with settlement expected by February 14, 2025.

Holders who validly tender their notes will receive the total consideration plus accrued interest. The offer is subject to certain conditions, including a Financing Condition, and Embraer reserves the right to amend or terminate the offer at its discretion.

Embraer S.A. (NYSE: ERJ) has announced the consideration details for its cash tender offer to purchase any and all outstanding 5.400% senior unsecured guaranteed notes due 2027. The notes, originally issued by Embraer Netherlands Finance B.V., have an outstanding principal amount of US$522,035,000.

The tender offer will expire at 5:00 p.m., New York City time, on February 11, 2025. The Any and All Total Consideration is set at US$1,012.18 per US$1,000 principal amount, based on a fixed spread of 45 basis points plus the reference yield of 4.292%. Settlement is expected by February 14, 2025.

Holders who validly tender their notes by the expiration date will receive the total consideration plus accrued interest. The offer includes a guaranteed delivery procedure option, allowing holders to tender notes until February 13, 2025.

Embraer (NYSE: ERJ) announced that its subsidiary, Embraer Netherlands Finance B.V., has priced a US$650 million offering of 5.980% notes due 2035. The notes were priced at 99.688% of principal amount and will be listed on the NYSE.

The company plans to use the proceeds to purchase outstanding notes from two concurrent tender offers announced on February 5, 2025: any and all of the 5.400% notes due 2027 and up to US$150 million of the 6.950% notes due 2028. Any remaining proceeds will be used for general corporate purposes.

The offering is being coordinated by multiple financial institutions, including Citigroup, Goldman Sachs, J.P. Morgan, Morgan Stanley, and PNC Capital Markets as global coordinators and joint bookrunners.

Embraer (ERJ) achieved a record-breaking backlog of US$26.3 billion in Q4 2024, marking a 40%+ year-on-year increase and 16% quarter-on-quarter growth. The company delivered 75 aircraft in Q4 2024 and 206 aircraft throughout 2024, representing a 14% increase from 2023.

Key segment performances include:

• Commercial Aviation: US$10.2 billion backlog (15% YoY growth) with 73 deliveries in 2024
• Executive Jets: Record US$7.4 billion backlog (70% YoY increase) with 130 deliveries
• Services & Support: All-time high US$4.6 billion backlog (50%+ YoY growth)
• Defense & Security: US$4.2 billion backlog (67% YoY increase)

Notable achievements include a marquee deal with Flexjet for 182 firm orders and industry-leading book-to-bill ratios across segments, with the company achieving an overall 2.2 ratio based on financial values.

Embraer S.A. (NYSE: ERJ) has announced two concurrent tender offers to purchase outstanding notes: (1) An 'Any and All Offer' to purchase all outstanding 5.400% senior notes due 2027 (US$522,035,000 outstanding) and (2) A 'Capped Offer' to purchase up to US$150,000,000 of 6.950% senior notes due 2028 (US$479,254,000 outstanding).

The Any and All Offer expires on February 11, 2025, while the Capped Offer expires on March 6, 2025. For the Capped Offer, holders who tender by February 19, 2025, will receive an early tender payment of US$50.00 per US$1,000 principal amount. Both offers are conditional upon completion of a new debt financing by Embraer Finance. The company indicates its intention to redeem any remaining 2027 notes following the offers through a make-whole call.

Embraer (NYSE: ERJ) has announced a historic purchase agreement with Flexjet, valued at up to USD $7 billion at current list prices. The deal includes a firm order of 182 aircraft and 30 options, comprising Praetor 600, Praetor 500, and Phenom 300E models, along with enhanced services and support.

This represents the largest order in Flexjet's 30-year history and the largest firm order for Embraer's executive aircraft. The agreement will nearly double Flexjet's fleet size in the next five years. Flexjet, which has been partnering with Embraer since 2003, has previously accepted delivery of more than 150 Embraer aircraft and has been the first fleet customer for multiple Embraer products, including the Phenom 300 in 2010 and the Praetor series in 2019.