Taylor Morrison Launches Cash Tender Offer for Senior Notes Due 2027

On November 3, 2025, Taylor Morrison Home Corporation (NYSE: TMHC), a leading homebuilder based in Scottsdale, Arizona, announced a cash tender offer to acquire any and all of its 5.875% Senior Notes set to mature in 2027. This initiative is designed to enhance the company's capital structure and manage its debt more effectively.

Offer Details

The tender offer is initiated by Taylor Morrison Communities, Inc., a wholly owned subsidiary of TMHC. The company revealed that the total outstanding principal amount of the Senior Notes being targeted is around $500 million. This offer comes with specific terms outlined in the official Offer to Purchase and a related Notice of Guaranteed Delivery, both dated the same day, providing detailed conditions for the proposal.

Investors holding the notes will have the opportunity to sell their notes, receiving a Purchase Price for each $1,000 principal amount that is validly tendered and accepted. This price will be determined based on the specified fixed spread and the yield to maturity of an appropriate U.S. Treasury Reference Security.

Timing and Conditions

The scheduled expiration time for the offer is at 5:00 PM New York City time on November 7, 2025, unless the company decides to extend it. Investors can withdraw their tendered notes before this expiration or after a specific period if the tender offer is not completed. The offer is conditioned on various factors, including a commitment from initial purchasers to issue new senior notes that align with the requirements of the offer.

In addition to the purchase price, the holders of the notes that are accepted will also receive accrued and unpaid interest up until the payment date, which is anticipated to be on November 10, 2025. For those utilizing guaranteed delivery, the expected payment date is November 13, 2025.

Strategic Intent

Taylor Morrison aims to utilize proceeds from the current offering of senior notes, alongside its available cash, for acquiring the outstanding notes. This effort falls in line with the company's strategic decisions to enhance financial flexibility and operational efficiency as it targets growth and addresses its debt obligations.

If the company manages to complete the offer successfully but does not buy back all the notes, Taylor Morrison expressed its intentions to redeem any remaining notes after the closing of this offer.

The company has also issued a conditional notice to redeem any outstanding notes remaining post-offer, scheduled for around December 2, 2025, underlined by their strict adherence to a stipulated redemption price and terms outlined in their governing indenture.

Conclusion

This move by Taylor Morrison is indicative of their proactive management of financial resources and a clear step toward solidifying their market position as a leading builder nationwide. TMHC's focus on optimizing its debt structure appears pivotal as it continues to serve a broad array of consumers across the country, maintaining its mission as one of America's Most Trusted® Builders, as recognized by Lifestory Research from 2016 through 2025.

With J.P. Morgan Securities LLC acting as the exclusive dealer manager for the offer and D.F. King Co., Inc. serving as the tender agent, TMHC encourages note holders to carefully evaluate the offer and consider their options, urging them to consult with their financial advisors before making any decisions regarding their investments.