DowDuPont holds fixed income calls for $12 billion eight-part offering of notes

By Cristal Cody

Tupelo, Miss., Nov. 13 – DowDuPont Inc. (Baa1/A-/BBB+) held fixed income investor calls on Tuesday for eight tranches of notes expected to total in the $12 billion area, according to a market source and a 424B5 filing with the Securities and Exchange Commission.

The deal includes two-year and five-year floating-rate notes, as well as fixed-rate tranches due 2020, 2023, 2025, 2028, 2038 and 2048.

Pricing is expected to follow the investor calls.

Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC are the bookrunners.

Proceeds will be used, along with borrowings under the company’s term loan facilities, to reduce liabilities by $12,124,000,000 and repurchase $3 billion of common stock under a share repurchase program.

DowDuPont is the holding company for Dow Chemical Co. and Corteva Inc., which are scheduled to be spun off in 2019.

The proceeds will be used to reduce outstanding liabilities that would otherwise be allocable to Dow and Corteva by $2.02 billion and $10.1 billion, respectively.

Wilmington, Del.-based DowDuPont is expected to become a stand-alone company focused on specialty products following the spinoffs of its agriculture and materials science businesses.

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