Amcor Flexibles North America, a subsidiary of packaging company Amcor, has priced a private offering of guaranteed senior notes totalling $2.2bn.
The offering includes three tranches, encompassing $725m of 4.800% notes due 2028, $725m of 5.100% notes due 2030, and $750m of 5.500% notes due 2035.
The notes will serve as senior unsecured obligations of Amcor Flexibles North America and come with an unconditional guarantee from Amcor and certain subsidiaries.
The proceeds are earmarked to repay debt associated with Amcorās merger with Berry Global Group, with a special redemption clause if the merger does not conclude by a specified date.
Earlier this month, Amcor and Berry secured US antitrust clearance for their proposed $8.4bn merger, concluding the Hart-Scott-Rodino Act waiting period. They also obtained antitrust approvals in China and Brazil.
The companies have reported significant progress on securing the remaining approvals and meeting closing conditions, with the deal expected to close by mid-2025.
The notes, which have not been registered under the Securities Act of 1933 or any state securities laws, are being offered to qualified institutional buyers and certain non-US buyers under specific exemptions.
A confidential offering memorandum details the terms for eligible participants, adhering to the conditions outlined therein.
In November 2024, the companies signed a definitive merger agreement for an all-stock deal to form a consumer packaging solutions company. The new entity will focus on innovative, sustainable packaging with global scale and supply chain flexibility.
Amcor will own approximately 63% of the combined entity, with Berry holding the remaining 37%.
