Worthington Steel Launches $900M Senior Secured Notes Offering for Klöckner Acquisition

Worthington Steel, Inc. filed an 8-K on May 26, 2026, announcing the commencement of a $900 million senior secured notes offering through its subsidiary WS Escrow LLC. The notes, due 2033, will be used to finance the pending acquisition of Klöckner & Co SE, a German steel company. The offering is part of a broader financing package that includes term loans and cash on hand to fund the €11.00 per share cash takeover offer for Klöckner. The filing includes Klöckner's audited financial statements for 2025 and unaudited Q1 2026 results, showing €6.38 billion in sales but a net loss of €53.4 million for 2025. Pro forma financial information is also provided showing the combined entity's projected financial position. The acquisition is subject to regulatory approvals that must be satisfied by March 12, 2027. The notes offering is not conditioned on the acquisition's completion, and if the acquisition doesn't close by the deadline, the notes will be subject to special mandatory redemption at 100% of issue price plus accrued interest.