Fortune Brands to pay down debt

Fortune Brands to pay down debt

Fortune Brands plans to spend US$1bn from the sale of its golf business to pay down debt.

The Beam Global Spirits & Wine owner said today (28 July) that it has launched tender offers to buy back up to US$1bn of debt due to between 2016 and 2036. It plans to fund the move via proceeds from its golf business sale, which is expected to close in the next few days. 

It expects to recoup $1.1bn from the sale to a consortium of Fila Korea and South Korea-based Mirae Asset Private Equity.

The tender offers will lighten the debtload of Beam Inc, which is set to be launched as a standalone version of Fortune's Beam Global Spirits & Wine arm early in the fourth quarter. Fortune said that the tender offers will close at 23:59 US Eastern Time on 24 August.

For more information on the offers, click here.