BURLINGTON, Mass.
and PLANO, TX, March 1, 2021
/PRNewswire/ -- Keurig Dr Pepper Inc. (NASDAQ: KDP) announced
today the pricing of its previously announced public offering of
senior notes (the "Notes"). The offering consists of $1,150 million aggregate principal amount of
0.750% senior notes due 2024, $500
million aggregate principal amount of 2.250% senior notes
due 2031 and $500 million aggregate
principal amount of 3.350% senior notes due 2051. Subject to
customary conditions, the offering is expected to close on
March 15, 2021.
The Notes will be the unsecured and unsubordinated obligations
of the Company and will rank equally in right of payment with all
of the Company's current and future unsubordinated indebtedness.
The Notes will be guaranteed by certain of the Company's domestic
subsidiaries (each a "Subsidiary Guarantor") and will be fully and
unconditionally guaranteed by all of its existing and future
subsidiaries that guarantee any of its other indebtedness (each a
"Subsidiary Guarantee"). Each such Subsidiary Guarantee will be an
unsecured and unsubordinated obligation of the Subsidiary Guarantor
providing such Subsidiary Guarantee and will rank equally in right
of payment with such Subsidiary Guarantor's current and future
unsubordinated indebtedness.
The Company estimates that the net proceeds from the offering
will be approximately $2,134 million
(after underwriting discounts and offering expenses). The
Company intends to use the net proceeds from this offering to fund
the redemption of certain outstanding senior unsecured notes and to
permanently repay in full and terminate its term loan facility that
matures in February 2023 and, in each
case, to pay any related premiums, accrued and unpaid interest and
fees and expenses related thereto. The remaining net proceeds, if
any, will be used to fund the costs of the offering and for other
general corporate purposes.
BofA Securities Inc., Goldman Sachs & Co. LLC, J.P. Morgan
Securities LLC and SMBC Nikko Securities America, Inc. will act as
joint book-running managers for the notes offering.
The offering of the notes is being made only by means of a
prospectus and related prospectus supplement. The Company has filed
a registration statement (including the prospectus and related
prospectus supplement) with the Securities and Exchange Commission
(the "SEC") for the offering to which this communication relates.
Before you invest, you should read the prospectus and related
prospectus supplement incorporated in that registration statement
and other documents the Company has filed with the SEC for more
complete information about the Company and the offering. You may
get these documents for free by visiting EDGAR on the SEC Web site
at www.sec.gov. Alternatively, copies may be obtained
from: BofA Securities, Inc., 200 North College Street, 3rd
Floor, Charlotte, North Carolina
28255-0001, Attention: Prospectus Department, telephone:
1-800-294-1322 or by email at dg.prospectus_requests@bofa.com;
Goldman Sachs & Co. LLC, Prospectus Department, 200 West
Street, New York, NY 10282,
telephone: 1-866-471-2526, facsimile: 212-902-9316 or by email at
prospectus-ny@ny.email.gs.com; J.P. Morgan Securities LLC, 383
Madison Avenue, New York, New York
10179, Attn: Investment Grade Syndicate Desk, telephone: (212)
834-4533; and SMBC Nikko Securities America, Inc., 277 Park Avenue,
New York, New York 10172, Attn:
Debt Capital Markets, telephone: 1-888-868-6856 or by email at
prospectus@smbcnikko-si.com.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of,
these notes 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 Keurig Dr Pepper
Keurig Dr Pepper (KDP) is a leading beverage company
in North America, with annual revenue in excess
of $11 billion and nearly 27,000 employees. KDP
holds leadership positions in soft drinks, specialty coffee and
tea, water, juice and juice drinks and mixers, and markets the #1
single serve coffee brewing system in the U.S. and Canada. The
Company's portfolio of more than 125 owned, licensed and partner
brands is designed to satisfy virtually any consumer need, any
time, and includes Keurig®, Dr Pepper®,
Green Mountain®, Canada
Dry®, Snapple®, Bai®,
Mott's®, CORE® and The Original Donut
Shop®. Through its powerful sales and distribution
network, KDP can deliver its portfolio of hot and cold beverages to
nearly every point of purchase for consumers. The Company is
committed to sourcing, producing and distributing its beverages
responsibly through its Drink Well. Do
Good. corporate responsibility platform, including efforts
around circular packaging, efficient natural resource use and
supply chain sustainability.
Forward-Looking Statements
Certain statements contained herein are "forward-looking
statements" within the meaning of applicable securities laws and
regulations. These statements are often, but not always, made
through the use of words or phrases such as "may," "might,"
"should," "could," "predict," "potential," "believe," "expect,"
"continue," "will," "anticipate," "seek," "estimate," "intend,"
"plan," and "would," or the negative version of those words or
other comparable words or phrases of a future or forward-looking
nature. These forward-looking statements have been based on the
Company's current views with respect to future events and the
timing of this notes offering. These forward-looking
statements are subject to a number of risks and uncertainties
including prevailing market conditions, as well as other factors.
All of the forward-looking statements are qualified in their
entirety by reference to the factors discussed under "Risk Factors"
in Part I, Item 1A of the Company's Annual Report on Form 10-K for
the year ended December 31, 2020 and
the Company's other filings with the SEC. Forward-looking
statements represent the Company's estimates and assumptions only
as of the date that they were made. The Company does not undertake
any duty to update the forward-looking statements, and the
estimates and assumptions associated with them, after the date of
this release, except to the extent required by applicable law.
Contact information
Investors:
Tyson Seely
(781) 418-3352
tyson.seely@kdrp.com
Steve Alexander
(972) 673-6769
steve.alexander@kdrp.com
Media:
Katie Gilroy
(781) 418-3345
katie.gilroy@kdrp.com
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SOURCE Keurig Dr Pepper