Dow Chemical completes $1.4 billion notes offering with maturities in 2031 and 2036

Published 08/09/2025, 21:22
Dow Chemical completes $1.4 billion notes offering with maturities in 2031 and 2036

Dow Inc. (NYSE:DOW) and its subsidiary The Dow Chemical Company announced Monday the completion of a $1.4 billion debt offering, according to a statement filed with the Securities and Exchange Commission. The company, which InvestingPro data shows carries a total debt of $18.1 billion, is currently trading below its Fair Value.

The offering consists of $750 million in aggregate principal amount of 4.800% notes due 2031 and $650 million in aggregate principal amount of 5.650% notes due 2036. The notes were sold to a group of underwriters led by BofA Securities, Citigroup Global Markets, and SMBC Nikko Securities America. With a debt-to-equity ratio of 1.05 and current ratio of 1.69, the company maintains a balanced financial position despite its significant debt load.

The transaction was conducted under Dow’s shelf registration statement on Form S-3, which was filed with the SEC on June 13, 2025. The notes were issued under an indenture dated July 26, 2019, with The Bank of New York Mellon Trust Company serving as trustee.

Dow stated that the offering was completed Monday. Legal counsel for the company provided an opinion regarding the validity of the notes as part of the filing.

Dow’s common stock and several series of its notes, including the new issues, are listed on the New York Stock Exchange under the ticker symbols NYSE:DOW, DOW/27, DOW/32, DOW/40, and DOW/44.

This information is based on a press release statement filed with the SEC.

In other recent news, Dow Inc reported its second-quarter 2025 earnings, disclosing a larger-than-expected loss and a decline in revenue. The company posted an earnings per share of -$0.42, which significantly missed the forecasted -$0.16. Additionally, Dow’s revenue fell short of expectations, reaching $10.1 billion compared to the anticipated $10.24 billion. In a separate development, Jefferies maintained its Hold rating on Dow but lowered its price target from $28 to $23, citing supply chain concerns. The research firm also reduced its earnings estimates for the company, cutting its 2025 EBITDA forecast by 2%, 2026 by 19%, and 2027 by 13%. Meanwhile, Dow and Gruppo Fiori announced a new process to recycle polyurethane foam waste from end-of-life vehicles without disassembly. This innovation aims to establish a closed-loop recycling system for automotive polyurethane foam, which is widely used in vehicle seating and interiors.

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