CMC to Opportunistically Raise $150M Tax-Exempt Bond Financing to Partially fund Steel WV Mill Project

IRVING, Texas, April 25, 2025 /PRNewswire/ -- Commercial Metals Company (NYSE: CMC) ("CMC") plans to launch a proposed tax-exempt bond financing today in the amount of $150.0 million. In connection with the proposed financing, the West Virginia Economic Development Authority (the "WVEDA") authorized the issuance and sale of Solid Waste Disposal Facility Revenue Bonds (Commercial Metals Company Project), Series 2025 (the "Bonds"). If the financing is completed, WVEDA will issue the Bonds and loan the proceeds of the sale of the Bonds to CMC pursuant to a loan agreement between CMC, as borrower, and WVEDA, as lender. The loan proceeds will be used to finance a portion of the costs of the acquisition, construction, reconstruction and equipping of solid waste disposal facilities located in Berkeley County, West Virginia (the "Facility"). CMC expects its investment in the Facility to be between $550.0 million and $600.0 million, net of $75.0 million of government assistance expected to be received from the WVEDA. The construction of the Facility is also expected to qualify for a net tax credit under the Inflation Reduction Act of approximately $80.0 million. The Bonds, if issued, will be special limited obligations of WVEDA, and WVEDA will assign substantially all of its rights under the loan agreement to the trustee for the bondholders as security for the Bonds. CMC's obligations under the loan agreement will be senior unsecured obligations.

Read more at prnewswire.com