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10/08/2020

Lowe’s announces $4 billion note offering

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Lowe's Companies announced today it has agreed to sell $1.00 billion of 1.3% notes due 2028, $1.25 billion of 1.7% notes due 2030 and $1.75 billion of 3.% notes due 2050. 

Estimated net proceeds from the offering will be approximately $3.968 billion, after deducting offering expenses and underwriters' discounts. 

Lowe's said that it plans to use the net proceeds from the sale of the notes to purchase its existing notes in the concurrent tender offers upon the terms and subject to the conditions set forth in its offer to purchase, dated Oct. 7.

The closing is expected to occur on Oct. 22 subject to satisfaction of customary closing conditions.

On Sept. 2, Lowe's repaid the entire $1 billion outstanding principal amount due under an unsecured 364-day term loan facility that it entered into in January 2020.

Barclays Capital Inc.; Goldman Sachs & Co. LLC; Wells Fargo Securities, LLC; and U.S. Bancorp Investments, Inc. are acting as joint book-running managers for the offering.