Business
Goodyear Announces Pricing of $1.45 Billion of Senior Notes in Connection With Planned Cooper Tire Acquisition
AKRON, Ohio, May 14, 2021 /PRNewswire/ -- The Goodyear Tire & Rubber Company (NASDAQ: GT) today announced that it has priced its private offering to eligible
About this update from The Goodyear Tire & Rubber Company
[{"type":"text","content":"AKRON, Ohio, May 14, 2021 /PRNewswire/ -- The Goodyear Tire & Rubber Company (NASDAQ: GT) today announced that it has priced its private offering to eligible purchasers of $850 million aggregate principal amount of senior notes due 2029 (the \"2029 notes\") and $600 million aggregate principal amount of senior notes due 2031 (the \"2031 notes,\" and together with the 2029 notes, the \"notes\"). The notes will be senior unsecured obligations of the company. \nThe 2029 notes will be offered to eligible purchasers at a price of 100% of their principal amount and will bear interest at a rate of 5.000% per annum. The 2031 notes will be offered to eligible purchasers at a price of 100% of their principal amount and will bear interest at a rate of 5.250% per annum. Goodyear expects the offering to close on May 18, 2021, subject to customary closing conditions.\nGoodyear intends to use the net proceeds from this offering, together with cash on hand and borrowings under its revolving credit facility, to fund the cash portion of the consideration for the acquisition of Cooper Tire & Rubber Company and to pay fees and expenses in connection with the acquisition and other transactions related thereto.\nThe notes have not been registered under the Securities Act of 1933, as amended (the \"Securities Act\"), or any applicable state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state laws. Goodyear plans to offer and issue the notes only to qualified institutional buyers pursuant to Rule 144A and to persons outside the United States pursuant to Regulation S, in each case under the Securities Act. \nThis press release does not constitute an offer to sell or a solicitation of an offer to buy the notes or any other securities and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such offer, solicitation or sale would be unlawful. GT-FN\nCertain information contained in this press release constitutes forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. There are a variety of factors, many of which are beyond our control, that affect our operations, performance, business strategy and results and co...