On April 3, 2025, BlackRock, Inc. (BLK, Financial) announced the successful completion of its underwritten public offering of €1,000,000,000 aggregate principal amount of 3.750% Notes due 2035. This offering was conducted under the registration statement on Form S-3, filed with the Securities and Exchange Commission on March 21, 2025. The Notes represent BlackRock's unsecured and unsubordinated debt obligations and are fully and unconditionally guaranteed on a senior unsecured basis by BlackRock Finance, Inc., a wholly owned subsidiary of BlackRock.
The issuance of these Notes was executed under the Indenture dated April 3, 2025, involving BlackRock, BlackRock Finance, and The Bank of New York Mellon as trustee. The Indenture was further supplemented by the First Supplemental Indenture on the same date, with The Bank of New York Mellon, London Branch, acting as the paying agent.
The net proceeds from this offering are earmarked for general corporate purposes, which may include the repayment of BlackRock's outstanding 1.25% Notes due 2025. The Notes offer BlackRock the flexibility to redeem them at its option, either in whole or in part, at a "make-whole" redemption price prior to April 18, 2035, or at 100% of the principal amount on or after this date.
Furthermore, BlackRock retains the right to redeem the Notes in the event of certain changes in U.S. tax laws that would necessitate the payment of "additional amounts" as specified in the Indenture. The Indenture also outlines specific events of default, including failure to pay interest or principal, breach of covenants, and certain bankruptcy or insolvency events.
This strategic financial maneuver underscores BlackRock's commitment to maintaining a robust financial structure while supporting its long-term corporate objectives. Investors and stakeholders are encouraged to review the detailed terms of the Indenture and the Notes for comprehensive insights.
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