#USA #Senior Secured Notes #Charleston #JW Aluminum

JW Aluminum Announces New $350 Million Note Offering

On March 10, 2025, JW Aluminum Continuous Cast Company, the subsidiary of JW Aluminum Holding Corp., made a significant announcement regarding its financial strategy. The company has proposed to offer a private issuance of Senior Secured Notes amounting to $350 million. This offering is aimed at qualified institutional buyers and is designed to provide the necessary capital for various strategic initiatives.

Purpose of the Offering

The primary objective of this note issuance is to raise capital that will be utilized to redeem JW Aluminum’s outstanding 10.25% Senior Secured Notes that are set to mature in 2026. This will involve a redemption process scheduled for approximately March 25, 2025, where the company intends to pay back investors at the full principal value plus any accrued interest. This move is expected to streamline JW Aluminum's debt profile and potentially lower interest expenses moving forward.

Moreover, a portion of the capital raised will also be allocated towards dividends, amounting to approximately $50 million. This distribution will be directed to JW Aluminum's parent company, reinforcing its commitment to delivering shareholder value. Any remaining proceeds will be utilized for general corporate purposes, further enhancing the company’s operational capabilities.

Exemption from Registration

It is noteworthy that this offering will be conducted under the exemptions specified in the Securities Act of 1933. The company will comply with Rule 144A for sales to qualified institutional buyers in the U.S., along with adhering to Regulation S for sales outside the United States. This method allows JW Aluminum to efficiently gather capital without undergoing a lengthy registration process, thereby expediting the fund acquisition.

It is important to clarify that this announcement does not represent an invitation to purchase or solicit offers in countries where such activities would be considered illegal. By adhering to these legal frameworks,JW Aluminum aims to ensure compliance while effectively raising the necessary capital.

About JW Aluminum

Founded and headquartered in Charleston, South Carolina, JW Aluminum specializes in manufacturing a range of flat-rolled aluminum products. Operating plants in both Charleston and Russellville, Arkansas, the company targets key sectors including construction, HVAC (heating, ventilation, and air conditioning), and the transportation industries. With an annual market size of around 10.9 billion pounds for flat-rolled aluminum in North America, JW Aluminum is strategically positioned to leverage significant market opportunities.

Emerging as a resilient player within the aluminum industry, the company's strong performance, innovative product offerings, and a strategic focus on niche markets set it apart from competitors. JW Aluminum is committed to sustainable practices and enhancing its service while creating value for customers and stakeholders alike.

In conclusion, the proposed issuance of Senior Secured Notes is a strategic move by JW Aluminum that reflects its ongoing commitment to financial health and operational growth. Stakeholders and investors are keenly monitoring these developments as the company continues to cement its position within the aluminum market. With plans for debt redemption, dividend distribution, and further investments in corporate infrastructure, JW Aluminum is poised for a promising future.