Simpson Thacher represented the initial purchasers, led by BNP Paribas as lead green structuring agent, in connection with OI European Group B.V.’s private offering of €500 million aggregate principal amount of 2.875% senior notes due 2025. The notes are guaranteed by the issuer’s indirect parent Owens-Illinois Group, Inc. (“OI Group”) and by certain of OI Group’s U.S. subsidiaries. The offering was the first “green bond” offering of any OI Group subsidiary, and closed on November 12, 2019.
The net proceeds from the offering are being used to redeem the remaining portion of the issuer’s outstanding 6.75% senior notes due 2020 and a portion of the issuer’s outstanding 4.875% senior notes due 2021, as well as for general corporate purposes. In addition, the issuer intends to allocate an amount equal to the net proceeds received from the offering to finance and/or refinance certain “Eligible Green Projects” in accordance with OI Group’s green bond framework.
OI Group, through its subsidiaries, is the successor to a business established in 1903. OI Group is the largest manufacturer of glass containers in the world with 78 glass manufacturing plants in 23 countries.
The Simpson Thacher team included Marisa Stavenas, Lesley Peng, Teresa Chen, Pinto Adhola and Chia-Chen Lee (Capital Markets); Jonathan Cantor and Nicole Humphrey (Tax); Adeeb Fadil (Environmental); Larry Moss and Joo Hyun Lee (Executive Compensation and Employee Benefits); Marcela Robledo and Corina McIntyre (Intellectual Property); and Jennie Getsin (Blue Sky).