HOUSTON--(BUSINESS WIRE)--Westlake Chemical Corporation (NYSE: WLK) (“Westlake”) today announced that it has closed its previously announced underwritten public offering of $500 million aggregate principal amount of 4.375% Senior Notes due 2047 (the “Notes”) and the remarketing of $250 million aggregate principal amount of the 3.50% Louisiana Local Government Environmental Facilities and Community Development Authority Revenue Refunding Bonds (Westlake Chemical Corporation Projects), Series 2017 (GO Zone)(Non-AMT) (the “Refunding Bonds”). Westlake issued $250 million aggregate principal amount of its 3.50% Senior Notes due 2032 to collateralize its obligations under the loan agreement relating to the Refunding Bonds.
Westlake intends to use the net proceeds from the offering of the Notes and the remarketing of the Refunding Bonds, together with the proceeds from borrowings under its revolving credit facility and cash on hand, to redeem $1.138 billion aggregate principal amount of Westlake’s and certain wholly owned subsidiaries’ 4.625% senior notes due 2021 and 4.875% senior notes due 2023 on or after the call dates of February 15, 2018, and May 15, 2018, respectively. Westlake has not called these senior notes for redemption and this press release is not a notice of redemption of or an offer to purchase any of these senior notes.
Merrill Lynch, Pierce, Fenner & Smith Incorporated, Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC and Wells Fargo Securities, LLC acted as book-running managers for the offering of the Notes. J.P. Morgan Securities LLC acted as senior book-running manager and RBC Capital Markets, LLC acted as co-senior manager for the remarketing of the Refunding Bonds.
Westlake Chemical Corporation is an international manufacturer and supplier of petrochemicals, polymers and building products with headquarters in Houston, Texas. The company’s range of products includes: ethylene, polyethylene, styrene, propylene, chlor-alkali and derivative products, PVC suspension and specialty resins, PVC Compounds, and PVC building products including siding, pipe, fittings and specialty components, windows, fence, deck and film.
The statements in this release that are not historical facts, such as statements regarding the potential redemption of the 4.625% senior notes due 2021 and 4.875% senior notes due 2023 are forward-looking statements that are based on current expectations. Although Westlake believes that its expectations are based on reasonable assumptions, it can give no assurance that these expectations will prove correct. Important factors that could cause actual results to differ materially from those in the forward-looking statements include results of operations, market conditions, capital needs and uses and other risks and uncertainties that are beyond Westlake’s control, including those described in the prospectus, Westlake’s Form 10-K for the fiscal year ended December 31, 2016 and in its other filings with the SEC. Forward-looking statements, like all statements in this press release, speak only as of the date of this press release (unless another date is indicated). Westlake does not undertake any obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise.
Westlake may not consummate the redemptions of the 4.625% senior notes due 2021 and 4.875% senior notes due 2023, which are subject to market conditions and other factors, and the closing of the offering of the Notes and the remarketing of the Refunding Bonds were not conditioned upon the consummation of the redemption of these senior notes.