Avient announces debt financing to fund acquisition of DSM Protective Materials

Cleveland, OH – Avient Corporation announced it has finalized the debt financing to fund its pending acquisition of DSM Protective Materials (including the Dyneema® brand) (“Dyneema”), which is expected to close on September 1, 2022.

The company has priced $725 million in aggregate principal amount of senior notes due 2030 (the “notes”) in an offering exempt from the registration requirements of the Securities Act of 1933 (the “Securities Act”). The notes will bear interest at an annual rate of 7.125% and will be issued at a price of 100% of their principal amount.

In conjunction with the notes offering, the company also priced a secured term loan due 2029 (the “term loan”) for the remaining funds needed for the Dyneema acquisition. The term loan is expected to bear interest at an annual rate of SOFR plus 325 bps spread and is expected to be issued at an original issue discount of 97.

The company noted the all-in weighted average annual interest rate for the Dyneema acquisition financing is approximately 6.6%.

The closing of the notes offering and term loan are expected to occur in August 2022, subject to customary closing conditions.