Loan & DebtMay 26, 2026, 08:17 AM
Worthington Steel Launches $900M Notes Offering for Klöckner Acquisition
AI Summary
Worthington Steel announced a private offering of $900 million senior secured notes due 2033 by its subsidiary, WS Escrow LLC. The proceeds, along with other financing, will primarily fund the pending acquisition of Klöckner & Co SE, including the cash consideration of €11.00 per share, shareholder loans, and minority shareholder compensation. Funds will also be used to repay existing debt, cover transaction fees, and for general working capital. The filing includes Klöckner's historical financials and pro forma combined financial information.
Key Highlights
- Worthington Steel's subsidiary launched a private offering of $900 million senior secured notes due 2033.
- Proceeds will fund the acquisition of Klöckner & Co SE, including €11.00 per share consideration.
- Funds will also repay existing debt of both companies and provide general working capital.
- Klöckner & Co SE reported net income of -€53.39 million for the year ended December 31, 2025.
- Klöckner & Co SE reported sales of €6.38 billion for the year ended December 31, 2025.
- The acquisition is subject to regulatory conditions, which must be satisfied by March 12, 2027.
- Unaudited pro forma combined financial information for the acquisition was included.
Price Impact
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