Graphic Packaging Plans Tax-Exempt Green Bond Offering

Graphic Packaging Holding Company’s GPK subsidiary, Graphic Packaging International LLC, has agreed to offer $100 million of tax-exempt green bonds due 2061 with a mandatory purchase date of October 1, 2026.
The offering is being executed through the Michigan Strategic Fund (MSF) Private Activity Bond Program.
The Tax-Exempt Green Bonds will be issued at a price of $110.99 and will bear interest at an annual rate of 4.0%.
The equivalent all-in yield will be 1.7%, and the interest income received by holders of the bonds will be exempt from federal and Michigan state income taxes but will be subject to the alternative minimum tax.
Graphic Packaging expects to close the transaction on or about September 29, 2021.
Price Action: GPK shares are trading lower by 0.35% at $20.08 on the last check Friday.