Howmet Aerospace begins capped cash tender offer for 2025 notes

Chicago, Aug. 18 – Howmet Aerospace, Inc. started a cash tender offer for up to $600 million of its $1.2 billion outstanding 6 7/8% notes due 2025 (Cusip: 443201AA6), according to a press release.

The company is offering a total consideration of $1,175 per $1,000 note, an amount that includes a $50 early tender premium for noteholders who tender their notes by the 5 p.m. ET Aug. 31 early deadline. The early tender deadline is also the withdrawal deadline.

Interest will also be paid to the applicable settlement date.

The offer will expire at midnight ET on Sept. 15.

Final settlement is expected for Sept. 17.

Tenders may be subject to proration if the offer is oversubscribed.

Funding for the tender offer will come from a new offering of notes. The tender offer is conditioned upon the new offering being at least $700 million.

J.P. Morgan Securities LLC (212 834-3424, 866 834-4666), Citigroup Global Markets Inc. (212 702-1840, 800 558-3745) and BMO Capital Markets Corp. (212 702-1840, 833 418-0762) are acting as lead dealer managers.

Global Bondholder Services Corp. (212 430-3774, 866 807-2200, contact@gbsc-usa.com) is the tender and information agent.

Pittsburgh-based Howmet is a global provider of advanced engineered solutions for the aerospace and transportation industries.

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