Latest news with #debtrefinancing
Bloomberg
6 days ago
- Automotive
- Bloomberg
Rivian Eyes New Debt Deal as Expected Vehicle Deliveries Slump
JPMorgan Chase & Co. is leading a potential high-yield bond sale for electronic vehicle manufacturer Rivian Automotive Inc., partly to refinance its upcoming debt, according to people familiar with the transaction. The company aims to raise as much as $2 billion, in part to replace existing bonds that mature in 2026, said the people, who were not authorized to discuss the matter publicly. JPMorgan is sounding out investors on the bond deal, with early pricing discussions around 10%, and a transaction could launch as soon as next week, said the people.
Yahoo
22-05-2025
- Business
- Yahoo
Oceania Healthcare Ltd (ASX:OCA) Full Year 2025 Earnings Call Highlights: Strong Sales Momentum ...
Release Date: May 21, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Oceania Healthcare Ltd (ASX:OCA) reported a 5.8% year-on-year increase in total comprehensive income, driven by positive fair value movements in its property portfolio. The company achieved a 100% increase in sales at the Helier, indicating strong sales momentum. Oceania Healthcare Ltd (ASX:OCA) successfully refinanced its debt, securing reductions in loan fees and margins, which is expected to save approximately $1 million annually. The company has reduced its unsold stock from $353 million to $342 million, despite adding $120 million of new stock, contributing to an $8 million reduction in debt. Oceania Healthcare Ltd (ASX:OCA) has a strong cash inflow from operating activities, with a net cash inflow of $110 million, demonstrating its ability to generate cash from core operations. The company has decided not to pay a dividend at this time, with a revised dividend policy to be announced later. Oceania Healthcare Ltd (ASX:OCA) closed its Wesley Institute of Nursing Education due to changes in accreditation pathways, resulting in a loss of $4.7 million in earnings for the next financial year. The company is facing challenges with high operating costs, particularly from initial operating losses at ramp-up sites like the Helier and Redwood. There is a significant amount of unsold development stock, which remains a major lever for reducing debt. Oceania Healthcare Ltd (ASX:OCA) is targeting $15 to $20 million in cost savings, indicating current cost structures are unsustainable. Warning! GuruFocus has detected 4 Warning Signs with ASX:OCA. Q: Can you provide more details on the changes at Elmwood, including the decommissioning plan and future developments? A: Catherine Waugh, CFO, explained that Elmwood is undergoing a redesign to focus more on villa products due to strong demand. The old care facility, currently housing 14-15 residents, will be demolished once vacated. A new community center is planned as part of the master plan, but no firm date is set yet. Q: What are the plans for care suites at Waterford and the timing for starting stage one at Green Bay? A: Catherine Waugh, CFO, stated that Green Bay is nearly ready for development, with plans for 16-20 villas. For Waterford, the focus is on building up the apartments before starting care facilities, with no immediate plans for high-density development. Q: How much of the sales momentum is due to market conditions versus new sales practices? A: Suzanne Dvorak, CEO, noted that the sales momentum is a result of both improved market conditions and enhanced sales practices, including centralized pricing and team incentives. The company is seeing increased inquiries and momentum due to these efforts. Q: Can you elaborate on the expected development cash cost recovery for the Helier by FY26? A: Catherine Waugh, CFO, mentioned that while specific budget details can't be disclosed, the company expects better sales cadence aligned with recent quarters, contributing to the cash cost recovery. Q: What is the impact of non-core asset disposals on margin improvement over the next five years? A: Catherine Waugh, CFO, indicated that achieving 94% occupancy is crucial for operational efficiency, with sites above this threshold showing margins above 12%. The focus is on bridging the 10-12% margin gap through occupancy and cost optimization. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
16-05-2025
- Business
- Globe and Mail
Fairfax Announces Pricing of Senior Notes Offering
TORONTO, May 15, 2025 (GLOBE NEWSWIRE) -- Fairfax Financial Holdings Limited ('Fairfax') (TSX: FFH and FFH.U) announces that it has priced a private offering of US$500,000,000 of senior notes due 2035 (the '2035 Notes') at an issue price of 99.632% and US$400,000,000 of senior notes due 2055 (the '2055 Notes' and, together with the 2035 Notes, the 'Notes') at an issue price of 99.725%. The Notes will be unsecured senior obligations of Fairfax. The 2035 Notes will pay a fixed rate of interest of 5.750% per annum, and the 2055 Notes will pay a fixed rate of interest of 6.500% per annum. Fairfax intends to use the net proceeds of this offering to refinance, repay or redeem outstanding debt, equity or other corporate obligations of Fairfax and its subsidiaries, to pursue potential acquisition or investment opportunities (which may include acquisitions of minority interests in its subsidiaries), and for general corporate purposes. This may include the redemption or repurchase of certain of Fairfax's previously issued debt or equity securities. As of the date of this press release, Fairfax has not made any determination as to the specific debt, equity or other corporate obligations to be repaid or redeemed, nor the amount, timing or method of such repurchase or redemption. Similarly, as of the date hereof, Fairfax has not made any determination as to the specific acquisitions or investment opportunities to be pursued, nor the cost, timing or method of such acquisitions or investments. Any such repurchase, redemption, acquisition or investment will be subject to market conditions. Any proceeds not used to refinance, repay or redeem outstanding debt, equity or other corporate obligations or to pursue potential acquisition or investment opportunities will be used for general corporate purposes, which may include to augment our cash position or to increase short-term investments and marketable securities held at the holding company level. Fairfax also intends to enter into a registration rights agreement in connection with the offering of the Notes. The offering is expected to close on or about May 20, 2025, subject to the satisfaction of customary closing conditions. The offering is being made solely by means of a private placement either to qualified institutional buyers pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended (the 'Securities Act'), or to certain non-U.S. persons in offshore transactions pursuant to Regulation S under the Securities Act. The Notes have not been registered under the Securities Act and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. The Notes have not been and will not be qualified for sale under the securities laws of any province or territory of Canada and may not be offered or sold directly or indirectly in Canada or to or for the benefit of any resident of Canada, except pursuant to applicable prospectus exemptions. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Notes in any jurisdiction in which such offer, solicitation or sale would be unlawful. Any offers of the Notes will be made only by means of a private offering memorandum. Fairfax is a holding company which, through its subsidiaries, is primarily engaged in property and casualty insurance and reinsurance and the associated investment management. Forward-looking information Certain statements contained herein may constitute 'forward-looking statements' and are made pursuant to the 'safe harbour' provisions of the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities regulations. Such forward-looking statements may include, among other things, the intended use of net proceeds from the offering of the Notes and the anticipated completion of the offering of the Notes. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Fairfax to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, but are not limited to: our ability to complete acquisitions and other strategic transactions on the terms and timeframes contemplated, and to achieve the anticipated benefits therefrom; a reduction in net earnings if our loss reserves are insufficient; underwriting losses on the risks we insure that are higher than expected; the occurrence of catastrophic events with a frequency or severity exceeding our estimates; changes in market variables, including unfavourable changes in interest rates, foreign exchange rates, equity prices and credit spreads, which could negatively affect our operating results and investment portfolio; the cycles of the insurance market and general economic conditions, which can substantially influence our and our competitors' premium rates and capacity to write new business; insufficient reserves for asbestos, environmental and other latent claims; exposure to credit risk in the event our reinsurers fail to make payments to us under our reinsurance arrangements; exposure to credit risk in the event our insureds, insurance producers or reinsurance intermediaries fail to remit premiums that are owed to us or failure by our insureds to reimburse us for deductibles that are paid by us on their behalf; our inability to maintain our long term debt ratings, the inability of our subsidiaries to maintain financial or claims paying ability ratings and the impact of a downgrade of such ratings on derivative transactions that we or our subsidiaries have entered into; risks associated with implementing our business strategies; the timing of claims payments being sooner or the receipt of reinsurance recoverables being later than anticipated by us; risks associated with any use we may make of derivative instruments; the failure of any hedging methods we may employ to achieve their desired risk management objective; a decrease in the level of demand for insurance or reinsurance products, or increased competition in the insurance industry; the impact of emerging claim and coverage issues or the failure of any of the loss limitation methods we employ; our inability to access cash of our subsidiaries; an increase in the amount of capital that we and our subsidiaries are required to maintain and our inability to obtain required levels of capital on favourable terms, if at all; the loss of key employees; our inability to obtain reinsurance coverage in sufficient amounts, at reasonable prices or on terms that adequately protect us; the passage of legislation subjecting our businesses to additional adverse requirements, supervision or regulation, including additional tax regulation, in the United States, Bermuda, Canada or other jurisdictions in which we operate; risks associated with applicable laws and regulations relating to sanctions and corrupt practices in foreign jurisdictions in which we operate; risks associated with government investigations of, and litigation and negative publicity related to, insurance industry practice or any other conduct; risks associated with political and other developments in foreign jurisdictions in which we operate; risks associated with legal or regulatory proceedings or significant litigation; failures or security breaches of our computer and data processing systems; the influence exercisable by our significant shareholder; adverse fluctuations in foreign currency exchange rates; our dependence on independent brokers over whom we exercise little control; financial reporting risks associated with IFRS 17– Insurance Contracts; financial reporting risks relating to deferred taxes associated with amendments to IAS 12– Income Taxes; impairment of the carrying value of our goodwill, indefinite-lived intangible assets or investments in associates; our failure to realize deferred income tax assets; technological or other change that adversely impacts demand, or the premiums payable, for the insurance coverages we offer; risks associated with Canadian or foreign tax laws, or the interpretation thereof; disruptions of our information technology systems; assessments and shared market mechanisms that may adversely affect our insurance subsidiaries; risks associated with the conflicts in Ukraine and Israel and the development of other geopolitical events and economic disruptions worldwide; and risks associated with tariffs, trade restrictions, or other regulatory measures imposed by domestic or foreign governments that may, directly or indirectly, affect our business. Additional risks and uncertainties are described in our most recently issued Annual Report, which is available at on SEDAR+ at and on EDGAR at and in our Base Shelf Prospectus (under 'Risk Factors') filed with the securities regulatory authorities in Canada, which is available on SEDAR+ at Fairfax disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law.
Bloomberg
07-05-2025
- Business
- Bloomberg
Southern Water to Tap King Street-Led Funding to Refinance Debt
Southern Water Ltd. is set to tap new funds from a group of investors led by King Street Capital Management to refinance some of its safer debt and stabilize its finances. With £350 million ($467 million) of notes due next March, Macquarie Asset Management-backed Southern Water recently secured the support of the debt investors to buy £800 million of new bonds that the company plans to issue, according to people familiar with the matter who spoke on the condition of anonymity.
