Vail Resorts Announces Pricing of Senior Notes Offering

Rhea-AI Summary

Vail Resorts (NYSE: MTN) has announced the pricing of its senior notes offering at $500 million with a 5.625% interest rate, due in 2030. The offering, which was upsized from the initially announced $400 million, is expected to close on July 2, 2025.

The company plans to use the proceeds to repay borrowings under its revolving credit facility that funded a $200 million share repurchase completed in June 2025. Additionally, funds will be used to repurchase or repay a portion of its outstanding 0.00% Convertible Senior Notes due 2026.

The Notes will be unsecured senior obligations guaranteed by certain domestic subsidiaries and are being offered to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S of the Securities Act.

Positive

• Upsized offering from $400M to $500M indicates strong investor demand
• Recently completed $200M share repurchase program demonstrates commitment to shareholder returns
• Strategic debt refinancing to address upcoming 2026 convertible notes maturity

Negative

• Additional debt increases company's interest expense with 5.625% rate
• Increased leverage could impact financial flexibility

News Market Reaction

+2.48%

1 alert

+2.48% News Effect

On the day this news was published, MTN gained 2.48%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

BROOMFIELD, Colo., June 30, 2025 /PRNewswire/ -- Vail Resorts, Inc. (NYSE: MTN) today announced the pricing of its previously announced senior notes offering. The Company priced $500 million in aggregate principal amount of 5.625% senior notes due 2030 at par (the "Notes"). The offering of the Notes was upsized from the originally announced aggregate principal amount of $400 million. The Notes offering is expected to close on July 2, 2025, subject to customary closing conditions. The Notes will be unsecured senior obligations of the Company and will be guaranteed by certain of the Company's domestic subsidiaries (other than certain excluded subsidiaries).

The Company intends to use the proceeds from the proposed offering to repay borrowings under its revolving credit facility incurred to fund the repurchase of $200 million of its outstanding shares of common stock completed in June 2025 and the repurchase or repayment of a portion of its outstanding 0.00% Convertible Senior Notes due 2026 at or prior to their maturity on January 1, 2026, and, in each case, to pay related fees and expenses. This press release does not constitute an offer to repurchase the Company's outstanding 0.00% Convertible Senior Notes due 2026.

The Notes and the related subsidiary guarantees are being offered to persons reasonably believed to be qualified institutional buyers in an offering exempt from registration pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons outside of the United States in compliance with Regulation S under the Securities Act. The Notes and the related subsidiary guarantees have not been registered under the Securities Act, or any state securities laws, and unless so registered, may not be offered or sold in the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and applicable state securities laws.

This press release is not an offer to sell or a solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offering, solicitation or sale would be unlawful. This press release is being issued pursuant to and in accordance with Rule 135c under the Securities Act.

About Vail Resorts, Inc. (NYSE: MTN)

Vail Resorts is a network of the best destination and close-to-home ski resorts in the world including Vail Mountain, Breckenridge, Park City Mountain, Whistler Blackcomb, Stowe, and 32 additional resorts across North America; Andermatt-Sedrun and Crans-Montana Mountain Resort in Switzerland; and Perisher, Hotham, and Falls Creek in Australia. We are passionate about providing an Experience of a Lifetime to our team members and guests, and our EpicPromise is to reach a zero net operating footprint by 2030, support our employees and communities, and broaden engagement in our sport. Our company owns and/or manages a collection of elegant hotels under the RockResorts brand, a portfolio of vacation rentals, condominiums and branded hotels located in close proximity to our mountain destinations, as well as the Grand Teton Lodge Company in Jackson Hole, Wyo. Vail Resorts Retail operates more than 250 retail and rental locations across North America.

Forward-Looking Statements

Certain statements discussed in this press release, other than statements of historical information, are forward-looking statements within the meaning of the federal securities laws. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include but are not limited to unanticipated developments that prevent, delay or negatively impact the offering and other financial, operational and legal risks and uncertainties detailed from time to time in the Company's cautionary statements contained in its filings with the Securities and Exchange Commission. All forward-looking statements are expressly qualified in their entirety by these cautionary statements. All forward-looking statements in this press release are made as of the date hereof and we do not undertake any obligation to update any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by law. There can be no assurance that the proposed offering will be completed as anticipated or at all.

 

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SOURCE Vail Resorts, Inc.

FAQ

What is the size and interest rate of Vail Resorts (MTN) new senior notes offering?

Vail Resorts priced $500 million in senior notes with a 5.625% interest rate, due in 2030. The offering was upsized from the originally announced $400 million.

How will Vail Resorts (MTN) use the proceeds from the senior notes?

The proceeds will be used to repay revolving credit facility borrowings that funded a $200 million share repurchase and to repurchase or repay a portion of outstanding 0.00% Convertible Senior Notes due 2026.

When will Vail Resorts (MTN) new senior notes offering close?

The senior notes offering is expected to close on July 2, 2025, subject to customary closing conditions.

Who can purchase Vail Resorts (MTN) new senior notes?

The notes are being offered to qualified institutional buyers under Rule 144A and to non-U.S. persons under Regulation S of the Securities Act.

What type of security are Vail Resorts (MTN) new notes?

The notes will be unsecured senior obligations of the company and will be guaranteed by certain domestic subsidiaries (excluding certain subsidiaries).