Kennedy-Wilson, Inc., a subsidiary of Kennedy-Wilson Holdings, has completed the issuance of $1.8 billion in senior notes. The proceeds are intended to fund a previously announced merger and refinance existing debt, contingent upon the merger's completion. The funds are currently held in an escrow account.
Key Details
- Total Offering: The offering consists of $1.8 billion in aggregate principal amount, split into two tranches.
- Note Tranches: Includes $1.1 billion of 7.000% senior notes due June 1, 2031, and $700 million of 7.250% senior notes due June 1, 2033.
- Use of Proceeds: Upon the merger's consummation, proceeds will be used to redeem the company's 4.750% senior notes due 2029 and 2030, offer to purchase its 5.000% senior notes due 2031, and repay other outstanding debt.
- Merger Contingency: If the merger, announced on February 16, 2026, is not consummated by November 16, 2026, the notes are subject to a special mandatory redemption at 100% of the initial issue price plus accrued interest.