U.S. Steel Corp. on March 13 priced its US$650 million aggregate principal amount of 6.250% senior notes due 2026 at 100% of their face value.
The notes will pay semi-annual interest in arrears on March 15 and Sept. 15 of each year beginning Sept. 15, and will mature March 15, 2026.
The proceeds, together with cash on hand, will be used to fund a cash tender offer for the redemption of all of the company's 8.375% senior secured notes due 2021, with the offer expected to expire March 20. The steel major has US$780 million of the 2021 notes outstanding.
J.P. Morgan, Bank of America Merrill Lynch, Barclays, Wells Fargo Securities, Credit Suisse, Citigroup, Goldman Sachs and Morgan Stanley are acting as joint book-running managers for the notes offering.
