British American Tobacco Announces Major Debt Securities Pricing

In a significant financial move, British American Tobacco p.l.c. (BAT) has successfully priced its debt securities. The offering includes $1 billion in 5.350% notes due in 2032, another $1 billion in 5.625% notes due in 2035, and $500 million in 6.250% notes due in 2055. The issuance is set to close on March 13, marking a pivotal moment for the company's financial strategy.

Strategic Use of Proceeds for Corporate Growth

BAT has announced plans to allocate the proceeds from this offering towards general corporate purposes. This strategic financial maneuver includes the potential repayment of existing debt, positioning the company for a more sustainable and growth-oriented future. Despite a 5.2% revenue decline in 2024 compared to the previous year, BAT is optimistic about a 1% sales growth in 2025. Additionally, the company has unveiled a £900 million share buyback plan, signaling confidence in its financial health and commitment to shareholder value.