PAWTUCKET – Hasbro Inc. on Thursday announced the pricing of an underwritten registered public offering of a range of notes that it projects will have net proceeds of $2.4 billion. The company intends to use toward the proposed acquisition of Entertainment One Ltd.
The company last week closed a public stock offering that raised $976.1 million for the same purposes.
The company reached an agreement to acquire Entertainment One, or eOne, in August for $4 billion.
The notes will begin accruing interest beginning Nov. 18, 2019 with semi-annual payments starting May 19, 2020, the company said.
If the acquisition is not consummated by March 30, 2020, Hasbro will be required to redeem the notes in whole at a special mandatory redemption price.
The notes offered include:
- $300,000,000 aggregate principal amount of 2.600% notes due 2022
- $500,000,000 aggregate principal amount of 3.000% notes due 2024
- $675,000,000 aggregate principal amount of 3.550% notes due 2026
- $900,000,000 aggregate principal amount of 3.900% notes due 2029
The acquisition, would expand Hasbro’s long line of current and historic brands, such as Monopoly, Nerf and Transformers, to include Entertainment One favorites such as Peppa Pig and PJ Masks. It would also give the company increased international exposure through Entertainment One’s operations in film, television, music production and distribution.
Chris Bergenheim is the PBN web editor. You may reach him at Bergenheim@PBN.com.
