Dover Corp Closes $2 Billion Note Offerings

TL;DR

DOVER just raised $2B in debt to fund growth and pay off old debt.

AI Summary

On February 29, 2024, DOVER Corp announced the closing of its previously disclosed offering of $1.25 billion aggregate principal amount of its 4.250% senior notes due 2026 and $750 million aggregate principal amount of its 4.750% senior notes due 2033. The company also announced the pricing of an offering of $750 million aggregate principal amount of its 4.750% senior notes due 2033. The net proceeds from these offerings will be used for general corporate purposes, including potential acquisitions and refinancing existing debt.

Why It Matters

Dover Corp has successfully raised significant capital through debt offerings, which can be used for strategic growth initiatives like acquisitions or to manage its existing debt obligations.

Risk Assessment

Risk Level: medium — The company is increasing its leverage by issuing new debt, which could impact its financial flexibility and profitability if not managed effectively.

Key Numbers

• $2.0 billion — Total Debt Raised (Aggregate principal amount from the 2026 and 2033 notes offerings.)
• 4.250% — Interest Rate (2026 Notes) (Coupon rate for the senior notes due 2026.)
• 4.750% — Interest Rate (2033 Notes) (Coupon rate for the senior notes due 2033.)

Key Players & Entities

• DOVER Corp (company) — Registrant
• $1.25 billion (dollar_amount) — Aggregate principal amount of 4.250% senior notes due 2026
• $750 million (dollar_amount) — Aggregate principal amount of 4.750% senior notes due 2033
• February 29, 2024 (date) — Closing date of note offerings

FAQ

Key Financial Figures

• $500 million — tibank, N.A. ("Citibank") to repurchase $500 million of its common stock, par value $1.00 pe
• $1.00 — million of its common stock, par value $1.00 per share ("Common Stock"). The Company

Filing Documents

• dov-20240229.htm (8-K) — 34KB
• dov-20240229_g1.jpg (GRAPHIC) — 18KB
• 0000029905-24-000011.txt ( ) — 256KB
• dov-20240229.xsd (EX-101.SCH) — 3KB
• dov-20240229_def.xml (EX-101.DEF) — 17KB
• dov-20240229_lab.xml (EX-101.LAB) — 32KB
• dov-20240229_pre.xml (EX-101.PRE) — 17KB
• dov-20240229_htm.xml (XML) — 5KB

01 Other Events

Item 8.01 Other Events On February 29, 2024, Dover Corporation (the "Company") established an accelerated share repurchase program (the "ASR") with Citibank, N.A. ("Citibank") to repurchase $500 million of its common stock, par value $1.00 per share ("Common Stock"). The Company is conducting the accelerated share repurchase under a repurchase authorization for an aggregate of 20,000,000 shares approved by its board of directors in August 2023. Approximately 2,569,839 shares of Common Stock repurchased under the ASR will be received by the Company on March 1, 2024, representing a substantial majority of the shares expected to be retired over the course of the ASR. The Company intends to fund the accelerated share repurchases with commercial paper. The final number of shares of Common Stock to be repurchased under the ASR will be based on the average of the daily volume weighted average price of Common Stock during the term of the ASR, less a discount and subject to potential adjustments pursuant to the terms of the ASR. Under the terms of the ASR, the final settlement is expected to be completed in the third quarter of 2024, but the ASR may be terminated early in certain circumstances.

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Current Report on Form 8-K contains "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. All statements in this document other than statements of historical fact are statements that are, or could be deemed, "forward-looking" statements. Forward-looking statements are subject to numerous important risks, uncertainties, assumptions and other factors, some of which are beyond the Company's control. Factors that could cause actual results to differ materially from current expectations include, among other things, general economic conditions and conditions in the particular markets in which we operate; supply chain constraints and labor shortages that could result in production stoppages, inflation in material input costs and freight logistics; the impact of interest rate and currency exchange rate fluctuations; the impacts of natural or human-induced disasters, acts of war, terrorism, international conflicts, and public health crises on the global economy and on our customers, suppliers, employees, business and cash flows; changes in customer demand and capital spending; competitive factors and pricing pressures; our ability to develop and launch new products in a cost-effective manner; our ability to realize synergies from newly acquired businesses; and our ability to derive expected benefits from restructuring, productivity initiatives and other cost reduction actions. For details on the risks and uncertainties that could cause our results to differ materially from the forward-looking statements contained herein, we refer you to the documents we file with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2023, and our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. These documents are available from the Securities and Exchange Commission, and on our website, dovercorporation.com. The Company un

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned hereunto duly authorized. Date: February 29, 2024 DOVER CORPORATION (Registrant) By: /s/ Ivonne M. Cabrera Ivonne M. Cabrera Senior Vice President, General Counsel & Secretary

View Full Filing

View this 8-K filing on SEC EDGAR