Owens-Illinois, Inc.: OI European Group B.V. Launches Private Offering of €600 Million of Senior Notes
October 26 2016 - 11:30PM
Exhibit 99.1
FOR IMMEDIATE RELEASE
OI European Group
B.V. Launches Private Offering of €600 Million of Senior
Notes
PERRYSBURG, Ohio / SCHIEDAM, the
Netherlands (October 27, 2016) - Owens-Illinois Group, Inc.
(the "Company"), announced that OI European Group B.V. ("OI
Europe"), an indirect wholly owned subsidiary of the Company,
intends to offer, subject to market and other conditions, €600
million aggregate principal amount of senior notes due 2024 in a
private offering to eligible purchasers under Rule 144A and
Regulation S of the U.S. Securities Act of 1933, as amended (the
"Securities Act"). OI Europe's obligations under the senior notes
will be guaranteed on a joint and several basis by the Company and
certain U.S. domestic subsidiaries of the Company that are
guarantors under the Company's credit agreement.
The company expects to use the net proceeds from
the private offering to repay the outstanding term loan B facility
under the credit agreement, which had $568 million outstanding as
of September 30, 2016, with the remainder used for general
corporate purposes.
The senior notes and the guarantees have not been
registered under the Securities Act, or applicable state securities
laws, and will be offered only to qualified institutional buyers in
reliance on Rule 144A under the Securities Act and to certain
non-U.S. persons in transactions outside the United States in
reliance on Regulation S under the Securities Act. Unless so
registered, the senior notes and the guarantees may not be offered
or sold in the United States except pursuant to an exemption from
the registration requirements of the Securities Act and applicable
state securities laws. Prospective purchasers that are qualified
institutional buyers are hereby notified that the seller of the
senior notes may be relying on the exemption from the provisions of
Section 5 of the Securities Act provided by Rule 144A.
The information contained in this news release is
for informational purposes only and shall not constitute an offer
to sell or the solicitation of an offer to buy the senior notes or
the guarantees, nor shall there be any sale of the senior notes and
the guarantees in any state or jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state.
This announcement
contains inside information by the Company and OI Europe under
Regulation (EU) 596/2014 (16 April 2014).
###
Forward-Looking Statements
The information contained in this news release
contains "forward-looking statements," as defined by federal
securities laws. Forward-looking statements reflect the Company's
current expectations and projections about future events at the
time, and thus involve uncertainty and risk. The words "believe,"
"expect," "anticipate," "will," "could," "would," "should," "may,"
"plan," "estimate," "intend," "predict," "potential," "continue,"
and the negatives of these words and other similar expressions
generally identify forward-looking statements. It is possible the
Company's future financial performance may differ from expectations
due to a variety of factors including, but not limited to the
following: (1) the Company's ability to integrate its acquisition
(the "Vitro Acquisition") of the food and beverage glass containers
business of Vitro, S.A.B. de C.V. and its subsidiaries as conducted
in the United States, Mexico and Bolivia (the "Vitro Business") in
a timely and cost effective manner, to maintain on existing terms
the permits, licenses and other approvals required for the Vitro
Business to operate as currently operated, and to realize the
expected synergies from the Vitro Acquisition, (2) risks related to
the impact of integration of the Vitro Acquisition on earnings and
cash flow, (3) risks associated with the significant transaction
costs and additional indebtedness that the Company incurred in
financing the Vitro Acquisition, (4) the Company's ability to
realize expected growth opportunities and cost savings from the
Vitro Acquisition, (5) foreign currency fluctuations relative to
the U.S. dollar, specifically the Euro, Brazilian real, Mexican
peso, Colombian peso and Australian dollar, (6) changes in capital
availability or cost, including interest rate fluctuations and the
ability of the Company to refinance debt at favorable terms, (7)
the general political, economic and competitive conditions in
markets and countries where the Company has operations, including
uncertainties related to economic and social conditions,
disruptions in capital markets, disruptions in the supply chain,
competitive pricing pressures, inflation or deflation, and changes
in tax rates and laws, (8) impacts from the United Kingdom's
referendum of withdrawal from the European Union on foreign
currency exchange rates and the Company's business, (9) consumer
preferences for alternative forms of packaging, (10) cost and
availability of raw materials, labor, energy and transportation,
(11) the Company's ability to manage its cost structure, including
its success in implementing restructuring plans and achieving cost
savings, (12) consolidation among competitors and customers, (13)
the Company's ability to acquire businesses and expand plants,
integrate operations of acquired businesses and achieve expected
synergies, (14) unanticipated expenditures with respect to
environmental, safety and health laws, (15) the Company's ability
to further develop its sales, marketing and product development
capabilities, and (16) the timing and occurrence of events which
are beyond the control of the Company, including any expropriation
of the Company's operations, floods and other natural disasters,
events related to asbestos-related claims, and the other risk
factors discussed in the Company's Annual Report on Form 10-K for
the year ended December 31, 2015 and any subsequently filed
Quarterly Reports on Form 10-Q. It is not possible to foresee or
identify all such factors. Any forward-looking statements in this
news release are based on certain assumptions and analyses made by
the Company in light of its experience and perception of historical
trends, current conditions, expected future developments, and other
factors it believes are appropriate in the circumstances.
Forward-looking statements are not a guarantee of future
performance and actual results or developments may differ
materially from expectations. The Company's forward-looking
statements speak only as of the date made. While the Company
continually reviews trends and uncertainties affecting the
Company's results of operations and financial condition, the
Company does not assume any obligation to update or supplement any
particular forward-looking statements contained in this news
release.
SOURCE: Owens-Illinois Group, Inc.
For further information, please
contact:
Sasha Sekpeh
O-I Investor Relations
(567) 336-5128
alexandra.sekpeh@o-i.com
OI European Group B.V. Launches
Private Offering
O-I Logo
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Owens-Illinois, Inc. via Globenewswire
OI Glass (NYSE:OI)
Historical Stock Chart
From Apr 2024 to May 2024
OI Glass (NYSE:OI)
Historical Stock Chart
From May 2023 to May 2024