Berry Global Group, Inc. Issues $800 Million Senior Secured Notes Due 2031

On October 25, 2024, Berry Global Group, Inc. (“Berry”) through its subsidiary Treasure Escrow Corporation, announced the issuance of $800,000,000 aggregate principal amount of 7.250% senior secured notes due 2031 (the “Notes”). The issuance was made pursuant to an indenture dated October 25, 2024, between the Escrow Issuer and U.S. Bank Trust Company, National Association as trustee and collateral agent.

This issuance occurred in connection with the previously announced combination of Berry’s Health, Hygiene, and Specialties Global Nonwovens and Films business with Glatfelter Corporation through a Reverse Morris Trust transaction. Glatfelter, which will be renamed Magnera Corporation, will assume all obligations under the Notes and the Indenture post the completion of the transaction.

The Notes are senior obligations of the Issuer, will mature on November 15, 2031, and bear interest at a rate of 7.250% per annum, payable semiannually. The Issuer may redeem the Notes under certain conditions, with redemption prices varying based on redemption dates.

Post the Escrow Release Date, the Notes will be guaranteed on a senior secured basis by Magnera’s subsidiaries. The Notes and the guarantees will be unsubordinated obligations of Magnera and the guarantors, ranking equally with existing and future unsubordinated indebtedness.

An escrow arrangement has been set up, ensuring that funds are available to pay the Escrow Redemption Price in case of mandatory redemption. Berry has outlined several covenants and restrictive clauses in the Indenture governing the Notes, including provisions related to additional indebtedness, dividends, and investments.

Berry advised that certain forward-looking statements in the report are subject to various risks and uncertainties, including regulatory approvals related to the transaction with Glatfelter.

For further information, the full text of the Indenture governing the Notes can be found in Exhibit 4.1 of the filing with the Securities and Exchange Commission.

This report does not constitute an offer or solicitation of securities and is solely for informational purposes regarding the financial obligations established by Berry Global Group, Inc. in relation to the Notes issuance.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Berry Global Group’s 8K filing here.

About Berry Global Group

Berry Global Group, Inc manufactures and supplies non-woven, flexible, and rigid products in consumer and industrial end markets in the United States, Canada, Europe, and internationally. The company operates through Consumer Packaging International; Consumer Packaging North America; Engineered Materials; and Health, Hygiene & Specialties segments.