Westlake Corporation Prices $1.2 Billion Senior Notes Offering
Westlake Corporation (NYSE: WLK) (“Westlake” or the “Company”) today announced the pricing of its previously disclosed underwritten public offering of senior unsecured notes totaling $1.2 billion in aggregate principal amount. The offering consists of $600 million aggregate principal amount of senior unsecured notes due 2035 (the “2035 Notes”) and $600 million aggregate principal amount of senior unsecured notes due 2055 (the “2055 Notes,” and together with the 2035 Notes, the “Notes”). These securities are being issued under Westlake’s existing automatic shelf registration statement filed with the U.S. Securities and Exchange Commission (the “SEC”).
Under the terms of the offering, the 2035 Notes will bear interest at a fixed rate of 5.550% per annum and will mature on November 15, 2035, while the 2055 Notes will carry a fixed interest rate of 6.375% per annum, maturing on November 15, 2055. Interest on each series of Notes will be payable semiannually, beginning May 15, 2026. The offering is expected to close on or about November 6, 2025, subject to customary closing conditions.
Westlake intends to use the net proceeds from this offering for several strategic and financial purposes. Primarily, the funds will be used to support the repurchase of its outstanding 3.600% Senior Notes due 2026 (the “2026 Senior Notes”) through a concurrent cash tender offer (the “Tender Offer”) launched simultaneously with this bond issuance. This liability management initiative reflects Westlake’s ongoing commitment to maintaining a balanced capital structure, optimizing its debt maturity profile, and reducing near-term refinancing risk.
Following completion of the Tender Offer, Westlake expects that any remaining net proceeds from the Notes will be allocated toward funding the pending acquisition of the global compounding solutions businesses of the ACI/Perplastic Group (the “ACI Acquisition”). This acquisition aligns with Westlake’s long-term strategy to expand its footprint in high-value polymer and compounding markets, strengthen its integrated materials portfolio, and further diversify its revenue base across geographies and end-use applications. Any residual proceeds not applied toward the Tender Offer or the ACI Acquisition are expected to be used for general corporate purposes, which may include working capital management, capital expenditures, or other strategic investments.
The Company emphasized that the offering of the Notes is not contingent upon the successful completion of either the Tender Offer or the ACI Acquisition. Each of these initiatives may proceed independently based on prevailing market conditions and corporate priorities. Westlake retains the flexibility to allocate funds in accordance with its operational and strategic needs.
The Notes are being offered pursuant to an effective shelf registration statement previously filed with the SEC. This registration enables Westlake to issue debt or equity securities from time to time in the public markets, subject to applicable regulations. The Notes offering will be made solely by means of a prospectus supplement and an accompanying base prospectus that meet the requirements of Section 10 of the Securities Act of 1933, as amended (the “Securities Act”). Potential investors are encouraged to review these documents carefully before making any investment decision.
In accordance with securities laws, Westlake’s announcement clarifies that this press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, including the Notes, nor shall there be any sale of such securities in any jurisdiction where such an offer, solicitation, or sale would be unlawful prior to proper registration or qualification under applicable securities laws. The Notes may only be offered and sold pursuant to the registration statement and the related offering materials filed with the SEC.
Similarly, this announcement does not constitute an offer to purchase or a solicitation of an offer to sell any of Westlake’s outstanding 2026 Senior Notes. The Tender Offer for those notes is being conducted separately and exclusively in accordance with the Offer to Purchase dated November 4, 2025, which outlines the specific terms and conditions governing that transaction.
Joint Book-Running Managers for the Notes offering include BofA Securities, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, and Wells Fargo Securities, LLC. These institutions will coordinate the distribution of the Notes to investors and assist Westlake in executing the transaction in the capital markets. Copies of the preliminary prospectus supplement and the accompanying base prospectus relating to the offering may be obtained without charge by visiting the SEC’s EDGAR database at www.sec.gov or by contacting any of the joint book-running managers at the following:
- BofA Securities, Inc. – (800) 294-1322
- Deutsche Bank Securities Inc. – (800) 503-4611
- J.P. Morgan Securities LLC – collect at (212) 834-4533
- Wells Fargo Securities, LLC – (800) 645-3751
The offering is part of Westlake’s ongoing effort to strengthen its balance sheet and support its strategic growth objectives. Over the past several years, Westlake has maintained a disciplined approach to capital allocation, combining organic growth initiatives with selective acquisitions that enhance its position across global petrochemicals and building materials markets. The ACI Acquisition, once completed, is expected to expand Westlake’s capabilities in polymer compounding solutions used across a wide range of industries, including automotive, packaging, and infrastructure.
By issuing long-dated notes with staggered maturities extending to 2035 and 2055, Westlake continues to demonstrate prudent financial planning, locking in fixed-rate financing amid evolving interest rate conditions. The transaction will extend the company’s debt maturity profile, potentially reduce overall financing costs over time, and preserve liquidity for future operational and strategic needs.
Source Link : https://www.businesswire.com/
