[424B5] APTARGROUP, INC. Prospectus Supplement (Debt Securities)
AptarGroup, Inc. is issuing $600,000,000 of 4.750% Senior Notes due March 30, 2031. The notes pay interest semi-annually starting March 30, 2026 and are unsecured, unsubordinated obligations ranking equally with Aptar’s other unsecured senior debt and structurally behind liabilities at its subsidiaries. The public offering price is 99.917%, providing estimated net proceeds of about $593.9 million after fees. Aptar plans to use the proceeds to repay all $125.0 million of its 3.61% senior unsecured notes due 2025, all $125.0 million of its 3.61% senior unsecured notes due 2026, and all outstanding U.S. dollar borrowings under its revolving credit facility, with any remainder for general corporate purposes. The notes are callable at a make-whole price before February 28, 2031 and at par thereafter, and investors receive a 101% repurchase right if a defined change of control and ratings downgrade occur.
- None.
- None.
Insights
Aptar refinances near-term debt and revolver with 2031 notes.
AptarGroup is issuing $600 million of 4.750% Senior Notes due
The company plans to use proceeds to repay all
The notes include an optional redemption at a make-whole price before
(To prospectus dated February 9, 2024)
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Per Note
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Total
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Public offering price(1)
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| | | | 99.917% | | | | | $ | 599,502,000 | | |
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Underwriting discount
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| | | | 0.600% | | | | | $ | 3,600,000 | | |
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Proceeds (before expenses) to us(1)
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| | | | 99.317% | | | | | $ | 595,902,000 | | |
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ABOUT THIS PROSPECTUS SUPPLEMENT
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MARKET AND INDUSTRY INFORMATION
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NON-U.S. GAAP MEASURES
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DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS
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NOTICE TO PROSPECTIVE INVESTORS IN THE EUROPEAN ECONOMIC AREA
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NOTICE TO PROSPECTIVE INVESTORS IN THE UNITED KINGDOM
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SUMMARY
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RISK FACTORS
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USE OF PROCEEDS
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CAPITALIZATION
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DESCRIPTION OF NOTES
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CERTAIN U.S. FEDERAL INCOME TAX CONSIDERATIONS
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| | | | S-32 | | |
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CERTAIN ERISA CONSIDERATIONS
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| | | | S-37 | | |
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UNDERWRITING (CONFLICTS OF INTEREST)
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| | | | S-39 | | |
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LEGAL MATTERS
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| | | | S-44 | | |
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EXPERTS
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WHERE YOU CAN FIND MORE INFORMATION
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INCORPORATION OF CERTAIN INFORMATION BY REFERENCE
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| | | | S-44 | | |
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ABOUT THIS PROSPECTUS
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| | | | ii | | |
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DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS
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APTARGROUP, INC.
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| | | | 1 | | |
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RISK FACTORS
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USE OF PROCEEDS
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DESCRIPTION OF DEBT SECURITIES
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PLAN OF DISTRIBUTION
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LEGAL MATTERS
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EXPERTS
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| | | | 8 | | |
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WHERE YOU CAN FIND MORE INFORMATION
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| | | | 8 | | |
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INCORPORATION OF CERTAIN INFORMATION BY REFERENCE
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Nine Months Ended
September 30, |
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Year Ended
December 31, |
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(Dollars in millions)
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2025
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2024
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2024
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2023
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2022
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| Statement of Income Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Net Sales
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| | | $ | 2,814.4 | | | | | $ | 2,734.8 | | | | | $ | 3,582.9 | | | | | $ | 3,487.5 | | | | | $ | 3,322.2 | | |
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Cost of sales (exclusive of depreciation and amortization shown below)
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| | | | 1,747.9 | | | | | | 1,708.7 | | | | | | 2,227.4 | | | | | | 2,224.1 | | | | | | 2,158.4 | | |
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Selling, research & development and administrative
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| | | | 455.2 | | | | | | 443.7 | | | | | | 582.2 | | | | | | 565.8 | | | | | | 544.3 | | |
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Depreciation and amortization
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| | | | 210.8 | | | | | | 196.3 | | | | | | 263.8 | | | | | | 248.6 | | | | | | 233.7 | | |
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Restructuring initiatives
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| | | | 5.8 | | | | | | 9.7 | | | | | | 13.0 | | | | | | 45.0 | | | | | | 6.6 | | |
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Operating Income
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| | | | 394.8 | | | | | | 376.4 | | | | | | 496.5 | | | | | | 404.0 | | | | | | 379.3 | | |
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Net Income
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| | | | 318.2 | | | | | | 273.3 | | | | | | 374.2 | | | | | | 284.2 | | | | | | 239.6 | | |
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Net Income Attributable to AptarGroup, Inc.
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| | | $ | 318.4 | | | | | $ | 273.6 | | | | | $ | 374.5 | | | | | $ | 284.5 | | | | | $ | 239.3 | | |
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(Dollars in millions)
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As of and for the
Nine Months Ended September 30, 2025 |
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As of and for the
Year Ended December 31, 2024 |
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| Balance Sheet and Other Data: | | | | | | | | | | | | | |
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Capital Expenditures
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| | | $ | 183.6 | | | | | $ | 276.5 | | |
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Total Assets
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| | | | 5,100.8 | | | | | | 4,432.3 | | |
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Long-Term Obligations, net(1)
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| | | | 546.0 | | | | | | 688.1 | | |
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Net Debt(2)
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| | | | 935.6 | | | | | | 800.3 | | |
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Total Stockholders’ Equity
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| | | | 2,787.5 | | | | | | 2,485.9 | | |
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Net Debt to Net Capital(2)
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| | | | 25.1% | | | | | | 24.4% | | |
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(Dollars in millions)
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As of
September 30, 2025 |
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As of
December 31, 2024 |
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| Net Debt to Net Capital Reconciliation | | | | | | | | | | | | | |
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Revolving credit facility and overdrafts
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| | | $ | 367.7 | | | | | $ | 176.0 | | |
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Current maturities of long-term obligations, net of unamortized debt issuance costs
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| | | | 286.8 | | | | | | 162.3 | | |
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Long-Term Obligations, net of unamortized debt issuance costs
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| | | | 546.0 | | | | | | 688.1 | | |
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Total Debt
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| | | $ | 1,200.5 | | | | | $ | 1,026.4 | | |
| Less: | | | | | | | | | | | | | |
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Cash and equivalents
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| | | | 257.1 | | | | | | 223.8 | | |
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Short-term investments
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| | | | 7.8 | | | | | | 2.3 | | |
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Net Debt
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| | | $ | 935.6 | | | | | $ | 800.3 | | |
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Total Stockholders’ Equity
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| | | $ | 2,787.5 | | | | | $ | 2,485.9 | | |
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Net Capital
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| | | $ | 3,723.1 | | | | | $ | 3,286.2 | | |
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Net Debt to Net Capital
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| | | | 25.1% | | | | | | 24.4% | | |
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As of September 30, 2025
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Actual
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As adjusted
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(in thousands)
(unaudited) |
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Cash and equivalents
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| | | $ | 257,057 | | | | | $ | 409,447 | | |
| Short-term obligations, revolving credit facility and overdrafts: | | | | | | | | | | | | | |
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Short-term obligations 2.25% to 3.10%
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| | | $ | 27,951 | | | | | $ | 27,951 | | |
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Revolving credit facility 2.90% to 5.59%(1)
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| | | | 339,614 | | | | | | 152,614 | | |
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Overdrafts 4.77%
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| | | | 180 | | | | | | 180 | | |
| | | | | $ | 367,745 | | | | | $ | 180,745 | | |
| Long-term obligations: | | | | | | | | | | | | | |
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Notes payable 0.00% – 3.20%, due in monthly and annual installments through 2035
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| | | $ | 20,696 | | | | | $ | 20,696 | | |
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3.61% senior unsecured notes due 2025(2)
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| | | | 125,000 | | | | | | — | | |
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3.61% senior unsecured notes due 2026(3)
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| | | | 125,000 | | | | | | — | | |
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3.60% senior unsecured notes due 2032, net of discount of $0.7 million
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| | | | 399,335 | | | | | | 399,335 | | |
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4.750% senior notes due 2031 offered hereby
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| | | | — | | | | | | 600,000 | | |
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Term loan 5.2% floating, due in 2027
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| | | | 141,100 | | | | | | 141,100 | | |
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Finance lease liabilities
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| | | | 24,981 | | | | | | 24,981 | | |
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Unamortized debt issuance costs(4)
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| | | | (3,270) | | | |
(9,370)
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Current maturities of long-term obligations
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| | | | (286,826) | | | | | | (36,826) | | |
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Total long-term obligations
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| | | | 546,016 | | | | | | 1,139,916 | | |
| Mezzanine equity: | | | | | | | | | | | | | |
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Redeemable noncontrolling interests
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| | | | 24,529 | | | | | | 24,529 | | |
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Total mezzanine equity
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| | | | 24,529 | | | | | | 24,529 | | |
| Stockholders’ equity: | | | | | | | | | | | | | |
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AptarGroup, Inc. stockholders’ equity
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| | | | — | | | | | | — | | |
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Common stock, $0.01 par value
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| | | | 728 | | | | | | 728 | | |
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Capital in excess of par value
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| | | | 1,155,590 | | | | | | 1,155,590 | | |
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Retained earnings
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| | | | 2,599,697 | | | | | | 2,599,697 | | |
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Accumulated other comprehensive loss
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| | | | (207,495) | | | | | | (207,495) | | |
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Less: Treasury stock at cost
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| | | | (778,812) | | | | | | (778,812) | | |
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Total AptarGroup, Inc. stockholders’ equity
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| | | | 2,769,708 | | | | | | 2,769,708 | | |
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Noncontrolling interests in subsidiaries
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| | | | 17,831 | | | | | | 17,831 | | |
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Total stockholders’ equity
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| | | | 2,787,539 | | | | | | 2,787,539 | | |
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Total capitalization(5)
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| | | $ | 3,358,084 | | | | | $ | 3,951,984 | | |
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Underwriters
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Principal Amount
of Notes |
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J.P. Morgan Securities LLC
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| | | $ | 105,000,000 | | |
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PNC Capital Markets LLC
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| | | | 105,000,000 | | |
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SG Americas Securities, LLC
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| | | | 105,000,000 | | |
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Wells Fargo Securities, LLC
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| | | | 105,000,000 | | |
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BNP Paribas Securities Corp.
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| | | | 40,000,000 | | |
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BofA Securities, Inc.
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| | | | 40,000,000 | | |
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HSBC Securities (USA) Inc.
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| | | | 40,000,000 | | |
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BBVA Securities Inc.
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| | | | 20,000,000 | | |
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Deutsche Bank Securities Inc.
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| | | | 20,000,000 | | |
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U.S. Bancorp Investments, Inc.
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| | | | 20,000,000 | | |
| Total | | | | $ | 600,000,000 | | |
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Paid by Us
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Per note
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| | | | 0.600% | | |
Attention: Investor Relations
265 Exchange Drive, Suite 301
Crystal Lake, Illinois 60014
Telephone: (815) 477-0424
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Page
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ABOUT THIS PROSPECTUS
|
| | | | ii | | |
|
DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS
|
| | | | iii | | |
|
APTARGROUP, INC.
|
| | | | 1 | | |
|
RISK FACTORS
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| | | | 2 | | |
|
USE OF PROCEEDS
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| | | | 3 | | |
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DESCRIPTION OF DEBT SECURITIES
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| | | | 4 | | |
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PLAN OF DISTRIBUTION
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| | | | 7 | | |
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LEGAL MATTERS
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| | | | 8 | | |
|
EXPERTS
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WHERE YOU CAN FIND MORE INFORMATION
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INCORPORATION OF CERTAIN INFORMATION BY REFERENCE
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| | | | 9 | | |
Attention: Investor Relations
265 Exchange Drive, Suite 301
Crystal Lake, Illinois 60014
Telephone: (815) 477-0424
FAQ
What is AptarGroup (ATR) offering in this prospectus supplement?
AptarGroup is offering $600,000,000 aggregate principal amount of 4.750% Senior Notes due 2031, which are unsecured, unsubordinated debt securities maturing on March 30, 2031.
What interest rate do AptarGroup’s 4.750% Senior Notes due 2031 pay and when?
The notes bear interest at 4.750% per annum, payable semi-annually in arrears on March 30 and September 30 of each year, beginning March 30, 2026.
How will AptarGroup use the net proceeds from the $600 million notes offering?
AptarGroup expects net proceeds of about $593.9 million, which it intends to use to repay all $125.0 million of 3.61% notes due 2025, all $125.0 million of 3.61% notes due 2026, all outstanding U.S. dollar borrowings under its revolving credit facility, and any remaining amount for general corporate purposes.
What is the ranking of AptarGroup’s new 4.750% Senior Notes due 2031?
The notes are unsecured and unsubordinated obligations of AptarGroup, ranking equally with its existing and future unsecured, unsubordinated debt, senior to any future subordinated debt, effectively junior to secured debt to the extent of collateral, and structurally junior to all liabilities of its subsidiaries.
Can AptarGroup redeem the 4.750% Senior Notes before maturity?
Yes. Before February 28, 2031, AptarGroup may redeem the notes at a make-whole price plus accrued interest. On or after February 28, 2031, it may redeem them at 100% of principal plus accrued interest.
What protections do noteholders have in a change of control of AptarGroup?
If a defined Change of Control Repurchase Event occurs, AptarGroup must offer to repurchase the notes at 101% of principal plus accrued interest, unless it has already redeemed the notes.
What are AptarGroup’s key recent financial figures relevant to this debt issue?
For the nine months ended September 30, 2025, AptarGroup reported net sales of $2,814.4 million and net income attributable to AptarGroup of $318.4 million. As of the same date, Net Debt was $935.6 million and Net Debt to Net Capital was 25.1%.