CLEVELAND, July 28,
2022 /PRNewswire/ -- Avient Corporation (NYSE: AVNT)
("Avient"), a leading provider of specialized and sustainable
solutions, today announced it has finalized the debt financing to
fund its pending acquisition of DSM Protective Materials (including
the Dyneema® brand) ("Dyneema"), which is expected to
close on September 1, 2022.
The company has priced $725
million in aggregate principal amount of senior notes due
2030 (the "notes") in an offering exempt from the registration
requirements of the Securities Act of 1933 (the "Securities Act").
The notes will bear interest at an annual rate of 7.125% and will
be issued at a price of 100% of their principal amount.
In conjunction with the notes offering, the company also priced
a secured term loan due 2029 (the "term loan") for the remaining
funds needed for the Dyneema acquisition. The term loan is
expected to bear interest at an annual rate of SOFR plus 325 bps
spread and is expected to be issued at an original issue discount
of 97.
The company noted the all-in weighted average annual interest
rate for the Dyneema acquisition financing is approximately
6.6%.
The closing of the notes offering and term loan are expected to
occur in August 2022, subject to
customary closing conditions.
About Avient
Avient Corporation (NYSE: AVNT), with 2021 revenues of
$4.8 billion, provides specialized
and sustainable material solutions that transform customer
challenges into opportunities, bringing new products to life for a
better world. Examples include:
- Unique technologies that improve the recyclability of products
and enable recycled content to be incorporated, thus advancing a
more circular economy
- Light-weighting solutions that replace heavier traditional
materials like metal, glass and wood, which can improve fuel
efficiency in all modes of transportation and reduce carbon
footprint
- Sustainable infrastructure solutions that increase energy
efficiency, renewable energy, natural resource conservation and
fiber optic / 5G network accessibility
Avient employs approximately 8,800 associates and is certified
ACC Responsible Care®, a founding member of the Alliance to End
Plastic Waste and certified Great Place to Work®. For more
information, visit www.avient.com/.
Forward-Looking Statements
In this press release, statements that are not reported
financial results or other historical information are "forward
looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements give
current expectations or forecasts of future events and are not
guarantees of future performance. They are based on management's
expectations that involve a number of business risks and
uncertainties, any of which could cause actual results to differ
materially from those expressed in or implied by the
forward-looking statements. They use words such as "will,"
"anticipate," "estimate," "expect," "project," "intend," "plan,"
"believe," and other words and terms of similar meaning in
connection with any discussion of future operating or financial
condition, performance and/or sales. Factors that could cause
actual results to differ materially from those implied by these
forward-looking statements include, but are not limited to:
disruptions, uncertainty or volatility in the credit markets that
could adversely impact the availability of credit already arranged
and the availability and cost of credit in the future; the effect
on foreign operations of currency fluctuations, tariffs and other
political, economic and regulatory risks, including recessionary
conditions; the current and potential future impact of the COVID-19
pandemic on our business, results of operations, financial position
or cash flows, including without limitation, any supply chain and
logistics issues; changes in polymer consumption growth rates and
laws and regulations regarding plastics in jurisdictions where we
conduct business; fluctuations in raw material prices, quality and
supply, and in energy prices and supply; production outages or
material costs associated with scheduled or unscheduled maintenance
programs; unanticipated developments that could occur with respect
to contingencies such as litigation and environmental matters; our
ability to pay regular quarterly cash dividends and the amounts and
timing of any future dividends; information systems failures and
cyberattacks; amounts for cash and non-cash charges related to
restructuring plans that may differ from original estimates,
including because of timing changes associated with the underlying
actions; any material adverse changes in the Dyneema Business; our
ability to achieve the strategic and other objectives relating to
the Acquisition, and the possible sale of the Distribution business
segment; and other factors described in our Annual Report on Form
10-K for the year ended December 31,
2021 under Item 1A, "Risk Factors." The above list of
factors is not exhaustive.
We undertake no obligation to publicly update forward-looking
statements, whether as a result of new information, future events
or otherwise. You are advised to consult any further disclosures we
make on related subjects in our reports on Form 10-Q, 8-K and 10-K
that we provide to the Securities and Exchange Commission.
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SOURCE Avient Corporation