Choice Hotels Reports Pricing Of Senior Notes In An Aggregate Principal Amount Of $600M In Public Offering
Portfolio Pulse from Benzinga Newsdesk
Choice Hotels has announced the pricing of senior notes worth $600 million in a public offering. The notes will mature on August 1, 2034, with an interest rate of 5.850% and will be issued at 98.929% of par value. These notes are unsecured and unsubordinated obligations of the company.
June 25, 2024 | 9:45 pm
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Choice Hotels has priced $600 million in senior notes with a 5.850% interest rate, maturing in 2034. The notes are unsecured and unsubordinated obligations.
The issuance of senior notes at a relatively high interest rate indicates that Choice Hotels is securing long-term financing, which could be used for expansion or debt refinancing. This move is generally positive as it shows the company's ability to raise capital, although the high interest rate may indicate higher perceived risk.
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