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Celanese's (CE) Subsidiary Prices Senior Notes Offering

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Celanese Corporation’s (CE - Free Report) fully-owned subsidiary, Celanese US Holdings LLC has priced a public offering of €300 million total principal amount of 1.25% Senior Notes due 2025. The notes will be guaranteed by the company on a senior unsecured basis.
Celanese plans to utilize the net proceeds from the offering for a voluntary contribution to fully fund its qualified U.S. pension plans while any excess proceeds will be used for general corporate purposes.
Celanese has outperformed the industry over a year. The company’s shares have moved up around 32.4% over this period compared with roughly 24.6% gain recorded by the industry.
The company expects business and productivity momentum to offset fourth-quarter weakness. Celanese is optimistic that it can grow its adjusted earnings per share for 2017 toward the top end of its earlier announced guidance range of 9-11%.
Celanese’s strategic measures including operational cost savings through productivity actions and pricing initiatives are likely to lend support to its earnings in 2017. The company is also poised to gain from growth initiatives that include acquisitions. Moreover, Celanese remains focused on returning value to shareholders.

Celanese Corporation Price and Consensus

Celanese Corporation Price and Consensus | Celanese Corporation Quote


Zacks Rank & Other Stocks to Consider

Celanese currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the basic materials space are Kronos Worldwide Inc. (KRO - Free Report) , Koppers Holding Inc. (KOP - Free Report) and Westlake Chemical Corporation (WLK - Free Report) , all sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Kronos Worldwide has expected long-term earnings growth of 5%. Its shares have gained 127.4% year to date.

Koppers has expected long-term earnings growth of 18%. Its shares have rallied 24.4% year to date.

Westlake Chemical has expected long-term earnings growth of 10.6%. Its shares have moved up 73.6% year to date.

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