Icahn Enterprises LP (IEP) has announced its intention to offer additional 9.750% senior notes maturing in 2029 through a private placement. This follows the recent successful closure of a $500 million note offering earlier this week.
The proceeds from this placement, combined with the company's cash on hand, will be utilized to fully redeem the existing 4.75% senior unsecured notes set to mature in 2024.
Despite a challenging period marked by short seller Hindenburg Research's critical report in May, Icahn Enterprises remains resilient. The stock price, currently at its lowest level since November 2003, saw a 1% premarket increase of after closing at $15.97 on Thursday. Year-to-date, however, the stock has seen a significant decline of 69%.
Icahn Enterprises, which boasts an impressive portfolio of public and private companies including petroleum refineries, car-parts manufacturers, food-packaging firms, and real estate properties, is controlled by billionaire Carl Icahn and his son Brett. While their holdings attract numerous retail investors, the company's focus remains on optimizing value for its stakeholders.
As this story unfolds, it will be interesting to see how Icahn Enterprises navigates the challenges it faces while maintaining its commitment to delivering sustained growth. In comparison, the S&P 500 has achieved a remarkable 23% gain since the beginning of the year.
