Brunswick debt offering will refinance Power Products loans

Brunswick Corp. recently announced the pricing of its offering of $115 million aggregate principal amount of 6.625 percent senior unsecured notes due 2049 under an effective shelf registration statement previously filed with the Securities and Exchange Commission.

Consistent with its capital strategy, Brunswick expects to use the proceeds from the offering to refinance a portion of the short-term bank loans entered into in connection with the recent $910 million acquisition of Power Products – Global Marine & Mobile business.

Brunswick granted the underwriters of this offering an option to acquire up to an additional $17.25 million principal amount of the notes to cover any over-allotments.

Brunswick estimates that its net proceeds from this offering, after deducting underwriting discounts, but before deducting expenses and fees, will be approximately $111.4 million.

The offering is expected to close on Dec. 3, 2018, subject to the satisfaction or waiver of customary closing conditions.

Morgan Stanley; Merrill Lynch, Pierce, Fenner & Smith; and Wells Fargo Securities are acting as joint book-running managers for the offering.

A copy of the prospectus supplement relating to the offering has been filed with the SEC and may be obtained by calling Morgan Stanley & Co. LLC at 1-866-718-1649; Merrill Lynch, Pierce, Fenner & Smith Incorporated at 1-800-294-1322; or Wells Fargo Securities, LLC at 1-800-645-3751.

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