Lineage, Inc. subsidiary issues €700 million in 4.125% senior notes due 2031

Lineage, Inc. (NASDAQ:LINE) announced that on November 26, its indirect subsidiary, Lineage Europe Finco B.V., issued and sold €700 million aggregate principal amount of 4.125% senior notes due 2031. The notes are senior unsecured obligations of the issuer and are fully and unconditionally guaranteed by Lineage, Inc., Lineage OP, LP, Lineage Logistics Holdings, LLC, and certain other subsidiaries.

According to a statement based on a recent SEC filing, the notes bear interest at 4.125% per annum, with payments made annually each November 26, starting in 2026, until maturity on November 26, 2031. The offering generated net proceeds of approximately €689 million after deducting initial purchaser discounts and estimated offering expenses.

The company intends to use the proceeds to repay amounts outstanding under its revolving credit facility and for general corporate and working capital purposes.

The indenture governing the notes includes restrictive covenants, such as requirements to maintain a specified percentage of unencumbered assets and limits on the ability of the operating partnership and its subsidiaries to incur additional indebtedness. The notes may be redeemed by the issuer, in whole or in part, at any time before September 26, 2031, at a price based on the present value of remaining scheduled payments plus 30 basis points or 100% of the principal amount, whichever is greater, plus accrued and unpaid interest. After September 26, 2031, the notes may be redeemed at 100% of principal plus accrued and unpaid interest.

The notes were sold only to qualified institutional buyers under Rule 144A or, outside the United States, to non-U.S. persons under Regulation S. The issuer and guarantors have also entered into a registration rights agreement, under which they are obligated to file a registration statement for an exchange offer of the notes by November 26, 2026.

This article is based on a statement in a recent SEC filing.

In other recent news, Lineage, Inc. announced that its indirect subsidiary, Lineage Europe Finco B.V., has priced an offering of €700 million in senior notes due 2031. The notes, which carry a 4.125% interest rate, were priced at 99.324% of the principal amount and will be guaranteed by Lineage, Inc. and other subsidiaries. Meanwhile, RBC Capital has maintained an Outperform rating on Lineage, Inc. but lowered its price target to $45 due to soft operating trends reported in the company’s third-quarter 2025 results. Mizuho also adjusted its price target for Lineage, reducing it to $40 from $44, while maintaining a Neutral rating, citing concerns over Adjusted Funds From Operations (AFFO) and anticipated lower services revenue. Additionally, Piper Sandler downgraded Lineage, Inc. from Overweight to Neutral, with a new price target of $41, following a weaker-than-expected inventory build in the third quarter. These developments highlight ongoing challenges for Lineage, Inc. in the current market environment.

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