Microvast Holdings announces departure of chief financial officer
NEW YORK - Macy’s, Inc. (NYSE:M), the $3.55 billion market cap retailer with annual revenues of $22.8 billion, announced Monday that its subsidiary, Macy’s Retail Holdings, LLC, has increased the maximum purchase amount in its cash tender offer for outstanding notes and debentures from $175 million to $250 million. According to InvestingPro data, the company maintains strong liquidity with a current ratio of 1.43, indicating sufficient resources to meet short-term obligations.
The tender offer, which began on July 14, targets several series of notes with varying acceptance priority levels. According to the company, the early tender period ended on July 25, with holders submitting more notes than the maximum tender amount. This debt management initiative comes as Macy’s maintains a total debt of $5.66 billion, with InvestingPro analysis showing the company trading at an attractive P/E ratio of 6.55.
Based on early tender results, Macy’s will accept all tendered 6.790% Senior Debentures due 2027, all 7.875% Senior Debentures due 2030, and all 7.875% Senior Exchanged Debentures due 2030. For the 5.875% Senior Notes due 2030, the company will accept $223,883,000 of the $329,918,000 tendered, representing a proration factor of approximately 67.93%.
The early settlement date is scheduled for July 29, subject to satisfaction of conditions including completion of Macy’s separately announced new senior notes offering. Holders of accepted notes will receive the total tender offer consideration, which includes an early tender premium of $30 per $1,000 principal amount, plus accrued and unpaid interest.
Due to the oversubscription of the tender offer, Macy’s does not expect to accept any notes tendered after the early tender date. The company plans to use proceeds from its new notes offering, along with cash on hand, to purchase the tendered notes, redeem approximately $587 million of certain existing senior notes and debentures, and pay related fees and expenses.
Wells Fargo Securities and US Bancorp are serving as lead dealer managers for the tender offer, with Global Bondholder Services Corporation acting as tender agent and information agent.
This information is based on a press release statement from Macy’s, Inc.
In other recent news, Macy’s, Inc. has announced significant financial maneuvers and received analyst attention. The company has priced an offering of $500 million in 7.375% senior notes due in 2033, with the offering expected to close in 2025, subject to customary conditions. Additionally, Macy’s subsidiary has launched a $175 million cash tender offer for its outstanding notes and debentures, targeting four series of notes with varying priority levels. The proceeds from the new senior notes offering, along with cash on hand, are intended to fund this tender offer and redeem approximately $587 million of existing senior notes and debentures.
On the analyst front, UBS has reiterated its Sell rating on Macy’s stock, maintaining a price target of $6.00, which suggests a significant downside from current levels. UBS analyst Jay Sole predicts that Macy’s will continue to face market share losses due to challenges in price, product, and service areas compared to its peers. The firm forecasts a negative 13% compound annual growth rate in earnings per share from fiscal year 2024 through fiscal year 2029. These developments highlight ongoing financial and competitive challenges for Macy’s in the market.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.