Automatic Data Processing, Inc. (ADP, Financial) has announced the execution of an Underwriting Agreement with BofA Securities, Inc., J.P. Morgan Securities LLC, and Morgan Stanley & Co. LLC. This agreement involves the issuance and sale of $1 billion in aggregate principal amount of 4.750% senior notes due in 2032. The transaction was registered with the Securities and Exchange Commission under a Registration Statement on Form S-3.
The senior notes were offered through a prospectus and a prospectus supplement, both dated May 5, 2025. The issuance of these notes took place on May 8, 2025, under an Indenture agreement with U.S. Bank Trust Company, National Association, serving as the trustee. This move is part of ADP's strategic financial management to optimize its capital structure and support its long-term growth objectives.
The legal opinion regarding the legality of the notes was provided by Davis Polk & Wardwell LLP, serving as counsel to ADP. This issuance is a significant step for ADP as it continues to enhance its financial flexibility and pursue strategic opportunities in the market.
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