Pricing of CNH Industrial Capital Canada Ltd. Cdn$400 million notes

Pricing of CNH Industrial Capital Canada Ltd. Cdn$400 million notes

In a significant financial maneuver, CNH Industrial N.V. (NYSE: CNHI), a global leader in the capital goods sector, has made a noteworthy announcement through its indirect wholly owned subsidiary, CNH Industrial Capital Canada Ltd.

The subsidiary has successfully priced Cdn$400 million in aggregate principal amount of 4.80% notes due on March 25, 2027. This strategic financial initiative underscores CNH Industrial’s robust financial planning and its commitment to strengthening its capital structure and supporting its long-term business objectives.


CNH Industrial N.V. disclosed that its indirect wholly owned subsidiary, CNH Industrial Capital Canada Ltd., has entered the financial market with a strong proposition. The subsidiary has priced Cdn$400 million in 4.80% notes that will mature in 2027. This announcement reflects the company’s proactive approach to capital management and its ability to secure favorable terms in the financial markets.

Issue Price

The notes have been issued for 99.876%, a strategic decision that highlights CNH Industrial’s understanding of market dynamics and expertise in financial structuring. This pricing strategy not only makes the offering attractive to potential investors but also aligns with the company’s financial health and strategic objectives.

Offering Details

The offering is structured as a private placement targeted at accredited investors across all Canadian provinces. This approach underscores the company’s strategic focus on leveraging private capital markets to enhance its financial flexibility. With the closing expected by March 25, 2024, this offering is subject to the satisfaction of customary closing conditions, demonstrating CNH Industrial’s meticulous planning and execution capabilities in financial transactions.

Use of Proceeds

CNH Industrial Capital Canada Ltd. intends to allocate the net proceeds from the offering to its general funds. These funds will be utilized for various corporate purposes, including working capital enhancement, the purchase of receivables or other assets in the ordinary course of business, and repaying indebtedness as it becomes due. This prudent allocation of resources underscores the company’s strategic approach to financial management, which aims to support its operational efficiency and long-term growth prospects.

Payment Schedule

The notes will pay interest semi-annually on March 25 and September 25 of each year, beginning on September 25, 2024. This payment schedule reflects CNH Industrial’s commitment to providing consistent returns to its investors while managing its cash flow efficiently to support ongoing operations and strategic initiatives.


The notes are senior unsecured obligations of CNH Industrial Capital Canada Ltd.. They are backed by guarantees from CNH Industrial Capital LLC, CNH Industrial Capital America LLC, and New Holland Credit Company, LLC. Each of these entities is an indirect wholly owned subsidiary of CNH Industrial N.V., which reinforces the strength of the offering and the company’s commitment to its financial obligations.

Regulatory Compliance

The securities offered in the private placement are exempt from the prospectus requirements of Canadian securities laws, indicating a strategic approach to compliance and regulatory navigation. Furthermore, the notes have not been registered under the U.S. Securities Act of 1933, as amended, highlighting the offering’s targeted nature and CNH Industrial’s strategic decision to focus on specific investor segments.

Sale Restrictions

By regulatory requirements, the securities may not be offered or sold in the United States except under an effective registration statement or an applicable exemption from the registration requirements. This restriction underscores CNH Industrial’s adherence to regulatory frameworks and its strategic approach to market engagement.

CNH Industrial Capital LLC Overview

CNH Industrial Capital LLC, as an indirect wholly owned subsidiary of CNH Industrial N.V., plays a pivotal role in the company’s financial ecosystem. Specializing in underwriting and managing financing products for end-use customers and dealers.

CNH Industrial Capital LLC and its subsidiaries are instrumental in supporting agricultural and construction equipment sales. This comprehensive financial support system underscores CNH Industrial’s integrated approach to business, combining product innovation with financial solutions to meet the needs of its customers and dealers effectively.

The Final Words

The pricing of CNH Industrial Capital Canada Ltd.’s Cdn$400 million notes is a testament to CNH Industrial N.V.’s strategic financial planning and market acumen. This move not only enhances the company’s financial position but also reflects its commitment to operational excellence and long-term growth.

Through meticulous planning, strategic market engagement, and a clear focus on regulatory compliance, CNH Industrial continues to strengthen its financial foundation and support its global operations in the capital goods sector.