Tronox Announces Pricing of $400 Million Aggregate Principal Amount of 9.125% Senior Secured Notes

Rhea-AI Summary

Tronox Holdings (NYSE:TROX), a leading global producer of titanium products, has announced the pricing of $400 million in senior secured notes through its subsidiary Tronox Incorporated. The notes, due in 2030, will carry a 9.125% interest rate paid semiannually and were offered at par value.

The offering, expected to close around September 26, 2025, is being made to qualified institutional buyers under Rule 144A and offshore investors under Regulation S. The notes will be guaranteed by Tronox Holdings plc and certain subsidiaries. The company plans to use the proceeds to repay existing revolving credit facilities and cover offering-related expenses, with any remaining funds allocated for general corporate purposes.

Positive

• None.

Negative

• High interest rate of 9.125% reflects significant borrowing costs
• Additional debt could increase financial leverage and interest expense burden
• Current market conditions necessitate secured rather than unsecured notes

STAMFORD, Conn., Sept. 15, 2025 /PRNewswire/ -- Tronox Holdings plc (NYSE: TROX) ("Tronox" or the "Company") today announced that Tronox Incorporated (the "Issuer"), a wholly owned subsidiary of the Company, has priced its offering of $400 million aggregate principal amount of 9.125% Senior Secured Notes due 2030 (the "Notes"). The offering was made to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to certain persons in offshore transactions pursuant to Regulation S under the Securities Act. The closing of the offering is anticipated to take place on or about September 26, 2025, subject to customary closing conditions. The Notes were offered at par and will bear interest semiannually at a rate equal to 9.125%. The Notes will be fully and unconditionally guaranteed on a senior, secured basis by Tronox Holdings plc and certain of its subsidiaries.

The Company expects to use the net proceeds from this offering to repay existing borrowings under certain of the Company's revolving credit facilities and to pay fees and expenses related to this offering, with any excess proceeds used for other general corporate purposes. 

The Notes and related guarantees will not be 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 the registration requirements of the Securities Act and applicable state securities laws.

This announcement is neither an offer to sell nor a solicitation to buy any of the foregoing securities, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About Tronox

Tronox Holdings plc is one of the world's leading producers of high-quality titanium products, including titanium dioxide pigment, specialty-grade titanium dioxide products and high-purity titanium chemicals, and zircon. We mine titanium-bearing mineral sands and operate upgrading facilities that produce high-grade titanium feedstock materials, pig iron and other minerals, including the rare earth-bearing mineral, monazite. With approximately 6,500 employees across six continents, our rich diversity, unmatched vertical integration model, and unparalleled operational and technical expertise across the value chain, position Tronox as the preeminent titanium dioxide producer in the world.

Forward Looking Statements

Statements in this release that are not historical are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include, without limitation, statements regarding the intended conduct, timing and terms of the proposed Notes offering and any future actions by us in respect of the Notes offering. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results to differ materially from those expressed or implied by the forward-looking statements. Significant risks and uncertainties may relate to, but are not limited to, macroeconomic conditions; policy changes affecting international trade, including import/export restrictions and tariffs;  inflationary pressures and energy costs; currency movements; political instability, including the ongoing conflicts in Eastern Europe and the Middle East and any expansion of such conflicts, and other geopolitical events; supply chain disruptions; market conditions and price volatility for titanium dioxide, zircon and other feedstock materials, as well as global and regional economic downturns, that adversely affect the demand for our end-use products; disruptions in production at our mining and manufacturing facilities; and other financial, economic, competitive, environmental, political, legal and regulatory factors. These and other risk factors are discussed in the Company's filings with the Securities and Exchange Commission.

Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for our management to predict all risks and uncertainties, nor can management assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, synergies or achievements. Neither we nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. Unless otherwise required by applicable laws, we undertake no obligation to update or revise any forward-looking statements, whether because of new information or future developments.

Investor Relations and Media Contact: Jennifer Guenther
+1.203.705.3701 extension: 103701 (Media)
+1.646.960.6598 (Investor Relations)

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SOURCE Tronox Holdings plc

FAQ

What is the size and interest rate of Tronox's (TROX) new senior secured notes offering?

Tronox is offering $400 million in senior secured notes with an interest rate of 9.125%, due in 2030.

How will Tronox (TROX) use the proceeds from its $400M notes offering?

Tronox plans to use the proceeds to repay existing borrowings under revolving credit facilities, pay offering-related expenses, and for general corporate purposes.

When will Tronox's (TROX) new notes offering close?

The notes offering is expected to close on or about September 26, 2025, subject to customary closing conditions.

Who can purchase Tronox's (TROX) new senior secured notes?

The notes are offered to qualified institutional buyers under Rule 144A and to certain offshore investors under Regulation S of the Securities Act.

What type of guarantee structure does Tronox's (TROX) new notes offering have?

The notes will be fully and unconditionally guaranteed on a senior, secured basis by Tronox Holdings plc and certain of its subsidiaries.