Dive Brief:
- Waste Management announced it is now offering $1.8 billion in senior notes.
- The notes will be used to pay for a previous note tender offer and for general corporate purposes.
- The offering is expected to close on Feb. 26.
Dive Insight:
Waste Management, based in Houston, plans to use the proceeds from the offerings due in March 2035 and March 2045 to pay for a part of the purchase price and the accrued interest from a previous tender offer, as well as for the redemption of senior notes. Any leftover funds will be used for general corporate purposes.
The notes are fully guaranteed by the company’s wholly-owned subsidiary, Waste Management Holdings, Inc. They have been assigned an A- rating by Standard & Poor’s, a BBB rating by Fitch, and a Baa2 rating by Moody’s.
Waste Management released its financials for Q4 and the 2014 full-year results on Feb. 17, and predicted a positive outlook for 2015.