On November 9, 2023, NOVA Chemicals Corporation announced the pricing of a private $400 million senior secured notes offering, termed the "2028 notes," with a 5-year non-call 2 structure and an 8.50% annual interest rate. These notes, due 2028, include a unique feature allowing redemption of up to 10% annually at 103% during the non-call period. Simultaneously, the Company proposed a tender offer and consent solicitation for $400 million of its existing $1,050 million 4.875% senior notes due 2024, labeled the "2024 notes."

The Company aims to utilize the net proceeds from the 2028 notes to redeem $400 million of the 2024 notes, in addition to covering the offering's fees and expenses and for general corporate needs. The completion of the 2028 notes offering was scheduled for November 28, 2023, contingent on standard closing conditions.

This move is expected to extend NOVA Chemicals' debt maturity profile while providing added financial flexibility.

The lead bookrunner for the 2028 notes was RBC Capital Markets, LLC, with several other financial institutions serving as joint bookrunners. RBC Capital Markets, LLC also functioned as the dealer manager for the 2024 notes' tender offer.

Legal counsel included Simpson Thacher Bartlett LLP for the Company, and Latham & Watkins LLP for the underwriters. The 2029 notes are set to be issued under exemptions from standard registration requirements, not being registered under the U.S. Securities Act or any state laws, and are subject to specific sale conditions in the United States.