Dover Closes €800 Million Bond Sale With 4.350% Coupon, Due 2030
The senior unsecured notes mature November 2, 2030, and 11 banks underwrote the full offering, with HSBC taking the biggest share.
Dover, the diversified industrial manufacturer, on Monday completed an offering of €800 million in 4.350% senior unsecured notes due 2030, selling the debt to 11 underwriters under agreements dated October 26.
Terms of the euro notes
The notes mature on November 2, 2030, unless Dover redeems or repurchases them earlier. They rank equally with the company's other senior unsecured debt and cannot be converted into other securities.
Under the pricing agreement, the notes were offered to the public at 99.917% of principal, and the underwriters paid Dover 99.517%.
Interest is paid once a year on November 2, starting November 2, 2027, and accrues from November 2, 2026. Dover may redeem the notes early at a price tied to a government bond rate plus 20 basis points (0.20 percentage points) before October 2, 2030.
If a change of control triggering event occurs, Dover may have to offer to repurchase the notes at 101% of principal plus accrued interest.
Eleven banks, led by HSBC
The underwriters were Deutsche Bank, HSBC, J.P. Morgan, Merrill Lynch International, Citigroup, Goldman Sachs, ING, BNP Paribas, Scotiabank, Academy Securities and U.S. Bancorp Investments. HSBC took the largest allocation at €176 million, while Deutsche Bank and J.P. Morgan each took €168 million.
The underwriting agreement names HSBC as settlement bank and stabilizing manager. In that role HSBC may over-allot notes or trade to support their market price, though the agreement says stabilization may not occur.
A diversified industrial issuer
Dover makes industrial equipment and components, consumable supplies, aftermarket parts, and software and support services. Its five segments are Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions, and Climate & Sustainability Technologies. Parts, consumables, services and software that customers buy repeatedly make up about 40% of revenue, according to its 10-K for the year ended December 31, 2025.
The company agreed to use reasonable best efforts to list the notes on the New York Stock Exchange as promptly as practicable.
The first annual coupon on the notes falls due on November 2, 2027.
Sources
- 8-K Filing — DOVER Corp (DOV) — SEC EDGAR
- Exhibit d253912dex991.htm — DOVER Corp 8-K exhibit — SEC EDGAR
- Exhibit d253912dex992.htm — DOVER Corp 8-K exhibit — SEC EDGAR
