Kronos Worldwide Enters Material Definitive Agreement

TL;DR

Kronos Worldwide just signed a big deal, watch their financials.

AI Summary

Kronos Worldwide, Inc. entered into a material definitive agreement on July 30, 2024, related to a direct financial obligation. The filing details this agreement and its implications under the Securities Exchange Act of 1934.

Why It Matters

This filing indicates a significant new financial commitment or obligation for Kronos Worldwide, Inc., which could impact its financial standing and future operations.

Risk Assessment

Risk Level: medium — Entering into material definitive agreements often involves significant financial commitments or obligations that carry inherent risks.

Key Numbers

• 1-31763 — SEC File Number (Kronos Worldwide's SEC filing identifier.)
• 76-0294959 — IRS Employer Identification No. (Kronos Worldwide's tax identification number.)

Key Players & Entities

• Kronos Worldwide, Inc. (company) — Registrant
• July 30, 2024 (date) — Date of earliest event reported
• 5430 LBJ Freeway, Suite 1700, Dallas, TX 75240-2620 (address) — Business and Mail Address

FAQ

Key Financial Figures

• $90 million — approximately 83 million (approximately $90 million at current exchange rates), after fees

Filing Documents

• kro-20240730x8k.htm (8-K) — 53KB
• kro-20240730xex10d1.htm (EX-10.1) — 26KB
• kro-20240730xex10d2.htm (EX-10.2) — 23KB
• 0001257640-24-000037.txt ( ) — 268KB
• kro-20240730.xsd (EX-101.SCH) — 4KB
• kro-20240730_def.xml (EX-101.DEF) — 3KB
• kro-20240730_lab.xml (EX-101.LAB) — 12KB
• kro-20240730_pre.xml (EX-101.PRE) — 10KB
• kro-20240730x8k_htm.xml (XML) — 5KB

01 Entry into a Material Definitive Agreement

Item 1.01 Entry into a Material Definitive Agreement. Private Placement of Additional Notes On July 30, 2024, Kronos International, Inc. (the "Issuer"), a wholly owned subsidiary of Kronos Worldwide, Inc. (the "Company"), completed the institutional private placement of 75 million in aggregate principal amount of 9.50% senior secured notes due 2029 (the "New Notes"). The New Notes were issued as additional notes to the existing 276,174,000 aggregate principal amount of 9.50% senior secured notes due 2029 (the "Existing 2024 Notes") that the Issuer issued pursuant to the indenture, dated as of February 12, 2024, by and among the Issuer, its subsidiary guarantors and Deutsche Bank Trust Company Americas, as trustee, collateral agent, paying agent, transfer agent and registrar (the "Base Indenture"). The New Notes were issued pursuant to a supplement to the Base Indenture dated July 30, 2024 (the "First Supplemental Indenture" and, together with the Base Indenture, the "Indenture"). The New Notes were sold to persons reasonably believed to be qualified institutional buyers within the United States in reliance on Rule 144A under the Securities Act or outside the United States to non-U.S. persons in accordance with Regulation S under the Securities Act. The transaction resulted in net proceeds to the Company, including accrued interest from February 12, 2024, of approximately 83 million (approximately $90 million at current exchange rates), after fees and expenses, which will be used to repay a portion of its global revolving credit facility with Wells Fargo, on which it drew in connection with its recently announced acquisition of the remaining equity interest that it did not already own of Louisiana Pigment Company, L.P. ("LPC"), a chloride-process TiO 2 production facility located in Lake Charles, Louisiana (the "LPC Acquisition"). The Company will use the remainder, if any, for general corporate purposes. The Existing Notes and the New Notes (collectively, the

03

Item 2.03 Creation of Direct Financial Obligation or an Obligation under and Off-Balance Sheet Arrangement of a Registrant. The disclosure set forth in Item 1.01 above is incorporated by reference int this Item 2.03.

Financial Statements and Exhibits

Financial Statements and Exhibits. (d) Exhibits 10.1 Supplemental Indenture No. 1, dated as of July 30, 2024, by and among Kronos International, Inc., the guarantors named therein, and Deutsche Bank Trust Company Americas, as trustee, collateral agent, paying agent, transfer agent and registrar. 10.2 Additional Notes Priority Joinder Agreement dated July 30, 2024, executed by Deutsche Bank Trust Company Americas, as trustee and collateral agent. 104 Cover Page Interactive Data File (embedded within Inline XBRL document). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. KRONOS WORLDWIDE, INC. (Registrant) Date: July 30, 2024 By: /s/ Tim C. Hafer Tim C. Hafer, Executive Vice President and Chief Financial Officer

View Full Filing

View this 8-K filing on SEC EDGAR