AkzoNobel has announced the launch of a €500 million bond with ten-year maturity and coupon of 4.0%.
The bond issue extends the duration of the company’s overall bond portfolio. The bond will be issued by Akzo Nobel N.V. and will be listed on the Luxembourg Stock Exchange. Settlement is scheduled for May 24, 2023, with the bond maturing on May 24, 2033.
At March 31, 2023, net cash and cash equivalents were €1.2 billion and financial leverage was 4.2 times net debt/EBITDA. The company has a €1.3 billion unutilized revolving credit facility with a maturity of 2027. The next bond maturity is €500 million in the second half of 2024.
The company aims to lower its leverage ratio to less than 3.4 times net debt/EBITDA, including the impact of the Kansai Paint Africa acquisition, by the end of 2023 and return to around 2 times post-2023.
We supply the sustainable and innovative paints and coatings that our customers, communities – and the environment – are increasingly relying on. Our world class portfolio of brands – including Dulux, International, Sikkens and Interpon – is trusted by customers around the globe. We’re active in more than 150 countries and have set our sights on becoming the global industry leader. It’s what you’d expect from a pioneering paints company that’s committed to science-based targets and is taking genuine action to address globally relevant challenges and protect future generations.