Press release
Steel Dynamics Announces Completion of Note Offering and Redemption Call for its 4.125% Senior Notes Due 2025
FORT WAYNE, Ind., Oct. 9, 2020 /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) announced today that it has consummated the sale of $350 million
About this update from Steel Dynamics, Inc.
[{"type":"text","content":"FORT WAYNE, Ind., Oct. 9, 2020 /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) announced today that it has consummated the sale of $350 million aggregate principal amount of 1.650% Notes due 2027 (\"2027 Notes\") and $400 million aggregate principal amount of 3.250% Notes due 2050 (together with the 2027 Notes, the \"Notes\"). The net proceeds from the Notes will be used to redeem $350 million of the company's 4.125% Senior Notes due 2025 (\"2025 Notes\") and for other general corporate purposes.\n\"We are incredibly pleased with the execution and support for our third investment grade note offering,\" stated Theresa E. Wagler, Executive Vice President and Chief Financial Officer. \"These transactions are an integral part of our long-term strategy to provide a strong capital foundation in support of our teams, our customers, and our continued growth. Since attaining our investment grade rating designation in October 2019, we have refinanced nearly all of our legacy high yield notes, meaningfully extending our average debt maturity profile and significantly decreasing our annual interest costs. We remain committed to maintaining our investment grade credit ratings, which we believe provide avenues to lower-cost and longer-term capital, allowing long-term optionality and value creation opportunities.\"\nAdditionally, the company announced today that it has called for redemption $350 million of the 2025 Notes. The redemption date for the 2025 Notes will be November 8, 2020. The redemption price for the 2025 Notes will be at 102.063%, plus accrued and unpaid interest to, but not including, the redemption date. On and after the redemption date, the 2025 Notes will no longer be deemed outstanding, interest will cease to accrue thereon and all rights of any remaining holders of 2025 Notes will cease to exist, except for the right to receive the redemption price, without interest thereon. The notice of redemption containing information required by the terms of the indenture, dated as of September 13, 2017, as supplemented and amended, governing the 2025 Notes, was sent to registered holders of the 2025 Notes on October 9, 2020. The 2025 Notes are to be surrendered to Wells Fargo Bank, National Association, as trustee and paying agent, in exchange for payment of the redemption price on the redemption date. \nQuestions relating to ...