KRONOS WORLDWIDE, INC. ANNOUNCES PRIVATE OFFERING OF AN ADDITIONAL €75 MILLION OF 9.50% SENIOR SECURED NOTES DUE 2029
July 23 2024 - 3:15AM
Kronos Worldwide, Inc. (NYSE: KRO) (the “Company”) announced today
that it is seeking to raise debt capital through a private offering
of €75 million aggregate principal amount of additional 9.50%
Senior Secured Notes due 2029 (the “Notes”) by its wholly-owned
subsidiary, Kronos International, Inc. (“KII”). The Notes are being
offered as additional notes to the existing €276,174,000 aggregate
principal amount of 9.50% Senior Secured Notes due 2029 that KII
issued on February 12, 2024 (the “Existing Notes”). Other than with
respect to the date of issuance and issue price, the Notes will
have the same terms as the Existing Notes. The Notes will be
maintained under the same ISIN and Common Code numbers as the
Existing Notes, except that the Notes issued pursuant to
Regulation S under the U.S. Securities Act of 1933, as amended
(the “Securities Act”), will trade separately under different ISIN
and Common Code numbers until 40 days after the issue date of the
Notes, but thereafter, the Notes issued pursuant to
Regulation S will be maintained under the same ISIN and Common
Code numbers as the Existing Notes issued pursuant to Regulation S.
The Notes will be fully and unconditionally
guaranteed, jointly and severally, on a senior basis by the Company
and each of its direct and indirect domestic, wholly-owned
subsidiaries (other than the Issuer, the “Guarantors”), subject to
certain exceptions and secured by first-priority security interests
in certain assets of the Company and the Guarantors.
The completion of the offering depends on
several factors, including market conditions. The Company intends
to use the proceeds of the offering, after payment of fees and
expenses, to repay a portion of its global revolving credit
facility with Wells Fargo, on which it drew in connection with its
recently announced acquisition of the remaining equity interest
that it did not already own of Louisiana Pigment Company. L.P., a
chloride-process TiO2 production facility located in Lake Charles,
LA which the Company had previously operated as a 50% owned joint
venture with Venator Materials.
This press release shall not constitute an offer
to sell, or the solicitation of an offer to buy any of the Notes
nor shall there be any sales of the Notes in any jurisdiction in
which such offer, solicitation or sale would be unlawful without
registration or qualification under the securities laws of any such
jurisdiction. This notice is being issued pursuant to and in
accordance with Rule 135(c) under the Securities Act.
The Notes and related guarantees subject to the
private placement have not been and will not be registered under
the Securities Act, or any state securities laws, and will be
offered only to persons reasonably believed to be qualified
institutional buyers in reliance on Rule 144A under the Securities
Act and in offshore transactions to non-U.S. persons (within the
meaning of Regulation S) outside the U.S. that are not “retail
investors” residing in a member state of the EEA or the UK. The
Notes and related guarantees may not be offered or sold in the
United States or to U.S. persons except pursuant to registration
under or an exemption from the registration requirements of the
Securities Act and applicable state securities laws.
About the Company
Kronos Worldwide, Inc., incorporated in Delaware
in 1989, is a leading global producer and marketer of value-added
titanium dioxide pigments, or TiO2, a base industrial product used
in a wide range of applications. The Company, along with its
distributors and agents, sells and provides technical services for
its products to approximately 3,000 customers in 100 countries with
the majority of its sales in Europe, North America and the Asia
Pacific region. The Company believes it has developed considerable
expertise and efficiency in the manufacture, sale, shipment and
service of its products in domestic and international markets.
Forward-Looking Statements
The statements in this press release relating to
matters that are not historical facts are forward-looking
statements that represent management’s beliefs and assumptions
based on currently available information. These forward-looking
statements include, among others, statements about the potential
outcome or effect of the notes offering or the use of proceeds
therefrom. Although Kronos believes the expectations reflected in
such forward-looking statements are reasonable, it cannot give any
assurances that these expectations will prove to be correct. Such
statements by their nature involve substantial risks and
uncertainties that could significantly impact expected results, and
actual future results could differ materially from those described
in such forward-looking statements. The factors that could cause
actual future results to differ materially include, but are not
limited to, uncertainties relating to market conditions for
corporate debt securities generally and for the securities of
specialty chemical companies and for Kronos in particular. Such
factors also include those identified in the Company’s most recent
annual and quarterly reports filed with the Securities and Exchange
Commission.
* * * * *
This news release is for informational purposes only and is not
an offer to sell, or the solicitation of an offer to buy,
securities.
Investor Relations Contact
Bryan A. HanleySenior Vice President and TreasurerTel.
972-233-1700
Kronos Worldwide (NYSE:KRO)
Historical Stock Chart
From Jul 2024 to Aug 2024
Kronos Worldwide (NYSE:KRO)
Historical Stock Chart
From Aug 2023 to Aug 2024