SAIC to issue $400 million senior notes due 2034 to refinance 2028 debt
Science Applications International Corp. announced a planned private offering of $400 million of senior unsecured notes that will mature in 2034. The net proceeds, together with cash on hand, will be used to redeem all outstanding 4.875% senior notes due in 2028, subject to the closing of the offering. The notes will be sold to qualified institutional buyers under Rule 144A and to non‑U.S. persons under Regulation S. The company noted that the offering is subject to market conditions and will also cover estimated fees and expenses.
Why it matters
The refinancing replaces higher‑coupon 2028 notes with longer‑dated 2034 notes, which could lower SAIC’s near‑term interest expense and improve its debt profile, according to the company’s statement.
Key facts
- 1SAIC plans to offer $400 million of senior notes due 2034. stocktitan.net
- 2The notes will be senior unsecured and guaranteed by SAIC’s domestic subsidiaries. investing.com
- 3Proceeds will be used to redeem all outstanding 4.875% senior notes due 2028. investing.com
- 4The offering is subject to market conditions and will also cover estimated fees and expenses. tradingview.com
- 5SAIC shares rose 0.51% to $152.63 in pre‑market trading following the announcement. rttnews.com
Open questions
- Annual revenue is reported as approximately $7.5 billion and $7.3 billion.
Summary written by AlphAI AI Desk from 5 of 5 sources. Not investment advice. Figures are as stated by the linked sources.