DUBLIN - Smurfit Westrock (NYSE:WRK) plc (NYSE: SW, LSE: SWR), a global packaging company, has successfully closed its green bond offerings, raising a total of $850 million and €1.2 billion through its subsidiaries. The U.S. dollar-denominated 2035 Notes, issued by Smurfit Westrock Financing DAC, amounted to $850 million with a 5.418% coupon. The Euro-denominated tranches, the 2032 Notes and 2036 Notes, were issued by Smurfit Kappa (IR:SKG) Treasury Unlimited Company, each raising €600 million with coupons of 3.454% and 3.807%, respectively.
The company stated that the proceeds from these offerings would be used to redeem existing senior notes due in 2026, with redemption dates set for December 2, 2024, and December 6, 2024. Remaining funds are earmarked for general corporate purposes, including repaying debt. Consistent with its sustainability goals, Smurfit Westrock plans to allocate an amount equivalent to the proceeds to finance or refinance a portfolio of Eligible Green Projects under its Green Finance Framework.
Senior Vice President Treasury Emer Murnane expressed satisfaction with the company's inaugural green bond issuance, highlighting robust investor demand, which saw order books exceed €5.9 billion and $5.5 billion for the Euro and U.S. dollar markets, respectively. Executive Vice President and Group CFO Ken Bowles pointed to the strong interest from 'dark green' investors as a sign of the company's commitment to sustainable finance.
President and CEO Tony Smurfit attributed the successful issuance to the company's sustainability strategy and the expertise of its team.
The bonds were offered in a private placement and were not available for public sale. They were sold to qualified institutional buyers in the United States and to non-U.S. persons in offshore transactions.
This news is based on a press release statement and does not constitute an offer to sell or a solicitation of an offer to buy any securities.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.