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CMC to Opportunistically Raise $150M Tax-Exempt Bond Financing to Partially fund Steel WV Mill Project
CMCCMC(CMC) Prnewswire·2025-04-25 12:00

Core Viewpoint - Commercial Metals Company (CMC) is initiating a proposed tax-exempt bond financing of 150.0milliontofundtheacquisitionandconstructionofsolidwastedisposalfacilitiesinBerkeleyCounty,WestVirginia,withanexpectedtotalinvestmentof150.0 million to fund the acquisition and construction of solid waste disposal facilities in Berkeley County, West Virginia, with an expected total investment of 550.0 million to 600.0million,netofgovernmentassistance[1].Group1:FinancingDetails−TheWestVirginiaEconomicDevelopmentAuthority(WVEDA)hasauthorizedtheissuanceofSolidWasteDisposalFacilityRevenueBonds,Series2025,tofinancetheproject[1].−TheproceedsfromthebondsalewillbeloanedtoCMCunderaloanagreement,withCMC′sobligationsbeingseniorunsecuredobligations[1].−Theprojectisexpectedtoqualifyforanettaxcreditofapproximately600.0 million, net of government assistance [1]. Group 1: Financing Details - The West Virginia Economic Development Authority (WVEDA) has authorized the issuance of Solid Waste Disposal Facility Revenue Bonds, Series 2025, to finance the project [1]. - The proceeds from the bond sale will be loaned to CMC under a loan agreement, with CMC's obligations being senior unsecured obligations [1]. - The project is expected to qualify for a net tax credit of approximately 80.0 million under the Inflation Reduction Act [1]. Group 2: Company Overview - CMC is positioned as an innovative solutions provider focused on building a stronger, safer, and more sustainable world, primarily serving the global construction sector [4]. - The company operates an extensive manufacturing network in the United States and Central Europe, offering products and technologies for various construction applications [4].