Kaiser Aluminum Corporation has shared plans to issue USD 500 million in senior notes that will mature in 2034. This offering will be conducted through a private transaction, which means it’s exempt from the registration requirements outlined in the Securities Act of 1933, as amended.
Issuing of these notes will be backed by all current and future domestic subsidiaries of the firm that act as borrowers or guarantors under the company’s revolving credit facility. The firm is looking to use the money raised from its upcoming senior notes offering, along with funds from its revolving credit line and current cash reserves, to pay off all of its outstanding 4.625 per cent senior notes that are due in 2028. However, the success of the notes offering will depend on the current market conditions.
On October 27, 2025, the firm shared a conditional notice about its intention to redeem the 2028 notes on November 6, 2025. This plan hinges on successfully issuing debt securities that the company finds acceptable in terms of total principal amount. However, this announcement is not an official notice of redemption for the 2028 notes.
The notes and their associated guarantees have not been and would not be registered under the Securities Act or any other relevant securities laws. This means it can not be offered or sold in the US unless it is registered or falls under an applicable exemption. The offering will be directed only to investors who are reasonably believed to be qualified institutional buyers under Rule 144A, as well as to non-US persons outside the United States in line with Regulation S.
The transaction is tied to market conditions, like pricing, investor interest and timing, playing a crucial role in how it unfolds. The funds raised are specifically earmarked for paying off the outstanding 2028 notes. This announcement is not an offer to sell or a notice of redemption. Once everything is finalised, the cash flows will show the money coming in from the issuance and the payments going out for the redemption, while the overall effect on the balance sheet will depend on the final terms that are still to be revealed.
Also read: Q3 2025 results exceed expectations as Kaiser Aluminum powers through its investment cycle
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