Icahn Enterprises L.P. Announces Pricing of Senior Notes
Icahn Enterprises (NASDAQ: IEP) has announced the pricing of an additional $500 million of 10.000% Senior Secured Notes due 2029 through a private placement. The notes will be issued under the existing indenture from November 20, 2024, and will be guaranteed by Icahn Enterprises Holdings L.P.
The notes will be secured by substantially all assets directly owned by the issuers and guarantor. The proceeds, combined with cash on hand, will be used to partially redeem IEP's existing 6.250% Senior Notes due 2026. The offering is limited to qualified institutional buyers in the U.S. under Rule 144A and non-U.S. persons under Regulation S.
Icahn Enterprises (NASDAQ: IEP) ha annunciato il prezzo di un'ulteriore emissione di 500 milioni di dollari di Senior Secured Notes al 10,000% con scadenza nel 2029, tramite un collocamento privato. Le obbligazioni saranno emesse sotto l'attuale indenture a partire dal 20 novembre 2024 e saranno garantite da Icahn Enterprises Holdings L.P.
Le obbligazioni saranno garantite da quasi tutti gli asset direttamente posseduti dagli emittenti e dal garante. I proventi, insieme alla liquidità disponibile, saranno utilizzati per il rimborso parziale delle attuali Senior Notes al 6,250% con scadenza 2026 di IEP. L'offerta è riservata a investitori istituzionali qualificati negli Stati Uniti ai sensi della Rule 144A e a soggetti non statunitensi ai sensi del Regulation S.
Icahn Enterprises (NASDAQ: IEP) ha anunciado el precio de una emisión adicional de 500 millones de dólares en Notas Senior Garantizadas al 10.000% con vencimiento en 2029, mediante una colocación privada. Las notas se emitirán bajo el indenture existente a partir del 20 de noviembre de 2024 y estarán garantizadas por Icahn Enterprises Holdings L.P.
Las notas estarán aseguradas por prácticamente todos los activos propiedad directa de los emisores y el garante. Los ingresos, junto con el efectivo disponible, se usarán para redimir parcialmente las actuales Notas Senior al 6,250% con vencimiento en 2026 de IEP. La oferta está limitada a compradores institucionales cualificados en EE.UU. bajo la Regla 144A y a personas no estadounidenses bajo el Reglamento S.
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Icahn Enterprises (NASDAQ: IEP) a annoncé le prix d'une émission supplémentaire de 500 millions de dollars de Senior Secured Notes à 10,000% échéant en 2029, via un placement privé. Les obligations seront émises sous l'acte d'émission existant à partir du 20 novembre 2024 et seront garanties par Icahn Enterprises Holdings L.P.
Les obligations seront garanties par pratiquement tous les actifs détenus directement par les émetteurs et le garant. Les fonds levés, combinés à la trésorerie disponible, serviront à rembourser partiellement les Senior Notes à 6,250% échéant en 2026 existantes d'IEP. L'offre est limitée aux acheteurs institutionnels qualifiés aux États-Unis selon la règle 144A et aux personnes hors des États-Unis selon le règlement S.
Icahn Enterprises (NASDAQ: IEP) hat die Preisfestsetzung für eine zusätzliche Emission von 500 Millionen US-Dollar 10,000% Senior Secured Notes mit Fälligkeit 2029 im Rahmen einer Privatplatzierung bekannt gegeben. Die Anleihen werden unter der bestehenden Indenture ab dem 20. November 2024 ausgegeben und von Icahn Enterprises Holdings L.P. garantiert.
Die Anleihen werden durch nahezu alle direkt vom Emittenten und Garanten gehaltenen Vermögenswerte besichert. Die Erlöse werden zusammen mit vorhandenen Barmitteln zur teilweisen Rückzahlung der bestehenden 6,250% Senior Notes mit Fälligkeit 2026 von IEP verwendet. Das Angebot richtet sich ausschließlich an qualifizierte institutionelle Käufer in den USA gemäß Regel 144A und an Nicht-US-Personen gemäß Regulation S.
- New notes are secured by substantially all assets of the issuers and guarantor
- Refinancing of existing debt with longer maturity (2029 vs 2026)
- Successfully raising additional $500 million in capital
- Higher interest rate on new notes (10.000%) compared to existing notes (6.250%)
- Increased debt burden with additional $500 million notes
- Limited to private placement, indicating potential challenges in public markets
Insights
Icahn Enterprises is refinancing debt with higher-interest secured notes, suggesting potential liquidity management amid challenging financial conditions.
Icahn Enterprises (IEP) has announced plans to issue
The financial implications here are significant. IEP is choosing to refinance debt at a substantially higher interest rate -
The notes being secured by "substantially all assets" directly owned by the issuers suggests IEP may be facing constraints in the unsecured debt market. Companies typically resort to secured financing when unsecured options become challenging or prohibitively expensive.
This refinancing appears to be a proactive liquidity management strategy, extending debt maturities from 2026 to 2029. However, the significantly higher interest rate indicates the market is demanding greater compensation for perceived risk. The private placement structure (versus public offering) and the secured nature of these notes both point to potential market concerns about IEP's financial position.
While this transaction provides IEP with extended maturity runway, the substantially higher borrowing costs will impact cash flow and could signal deeper financial challenges facing the company.
The Notes and related guarantees are being offered only (1) in
This press release is being issued pursuant to and in accordance with Rule 135c under the Securities Act. This press release shall not constitute an offer to sell or a solicitation of an offer to buy any securities of the Issuers.
About Icahn Enterprises L.P.
Icahn Enterprises L.P. (NASDAQ: IEP), a master limited partnership, is a diversified holding company owning subsidiaries currently engaged in the following continuing operating businesses: Investment, Energy, Automotive, Food Packaging, AGÕæÈ˹ٷ½ Estate, Home Fashion and Pharma.
Caution Concerning Forward-Looking Statements
This release contains certain statements that are, or may deemed to be, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, many of which are beyond our ability to control or predict. Forward-looking statements may be identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning and include, but are not limited to, statements about the expected future business and financial performance of Icahn Enterprises and its subsidiaries. Actual events, results and outcomes may differ materially from our expectations due to a variety of known and unknown risks, uncertainties and other factors, including risks related to economic downturns, substantial competition and rising operating costs; the impacts from the
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SOURCE Icahn Enterprises L.P.