APTARGROUP, INC.ATR
APTARGROUP, INC. Debt Disclosure
DEBT
Short-term obligations
At December 31, 2025 and 2024, our short term obligations, revolving credit facility and overdrafts consisted of the following:
| 2025 | 2024 | ||||||||||
Short-term obligations 1.50% to 3.00% | $ | 31,314 | $ | — | |||||||
Revolving credit facility 2.96% | 152,633 | 176,035 | |||||||||
| $ | 183,947 | $ | 176,035 | ||||||||
The short-term obligations of $31.3 million were acquired as part of the BTY acquisition and bear interest at rates ranging from 1.5% to 3.0%. These obligations have contractual maturities of less than one year and are therefore classified as short-term obligations within the Consolidated Balance Sheets.
We have a revolving credit facility (the "revolving credit facility") with a syndicate of banks that provides us with unsecured financing of up to $600.0 million, which may be increased by up to $300.0 million more, subject to the satisfaction of certain conditions. The revolving credit facility is available in the U.S. and to our wholly-owned UK subsidiary and could be drawn in various currencies including USD, EUR, GBP, and CHF. On July 2, 2024, we entered into a new amended and restated agreement (the "amended revolving credit facility") that extended the maturity date to July 2029, subject to a maximum of two one-year extensions in certain circumstances. As of December 31, 2025, €130.0 million ($152.6 million) was utilized under the amended revolving credit facility in the U.S. and no balance was utilized by our wholly-owned UK subsidiary. As of December 31, 2024, we utilized €170.0 million ($176.0 million) under the revolving credit facility in the U.S. and no balance was utilized by our wholly-owned UK subsidiary.
There are no compensating balance requirements associated with our amended revolving credit facility. Each borrowing under the amended revolving credit facility will bear interest at rates based on SOFR (in the case of USD), EURIBOR (in the case of EUR), SONIA (in the case of GBP), SARON (in the case of CHF), prime rates or other similar rates, in each case plus an applicable margin. The amended revolving credit facility also provides mechanics relating to a transition away from designated benchmark rates for other available currencies and the replacement of any such applicable benchmark by a replacement alternative benchmark rate or mechanism for loans made in the applicable currency. A facility fee on the total amount of the amended revolving credit facility is also payable quarterly, regardless of usage. The applicable margins for borrowings under the amended revolving credit facility and the facility fee percentage may change from time to time depending on changes in our consolidated leverage ratio. We incurred approximately $10.1 million and $9.5 million in interest and fees related to our credit facility and money market borrowing arrangement during 2025 and 2024, respectively.
Average borrowings under the amended revolving credit facility and money market borrowing arrangement were $237.7 million and $170.6 million for 2025 and 2024, respectively. The average annual interest rate on the amended revolving credit facility and money market borrowing arrangement was 3.9% and 5.1% for 2025 and 2024, respectively.
We also have an unsecured money market borrowing arrangement to provide short term financing of up to $30.0 million that is available in the U.S. No borrowing on this facility is permitted over a quarter end date. As such, no balance was utilized under this arrangement as of December 31, 2025 or December 31, 2024.
Long-Term Obligations
On November 20, 2025, we issued $600.0 million aggregate principal amount of 4.75% Senior Notes due March 2031 in an underwritten public offering. The form and terms of the notes were established pursuant to an Indenture, dated as of March 7, 2022, as amended and supplemented by a Second Supplemental Indenture, dated as of November 20, 2025, each between the Company and U.S. Bank Trust Company, National Association, as trustee. Interest is payable semi-annually in arrears. The notes are unsecured obligations and rank equally in right of payment with all of our other existing and future senior, unsecured indebtedness.
On December 16, 2025, we repaid in full the $125.0 million 3.6% Senior Notes that were due in December 2025.
On February 26, 2024, we repaid in full the $100.0 million 3.49% Senior Unsecured Notes that were due in February 2024. On July 19, 2024, we repaid in full the €200.0 million 1.17% Senior Unsecured Notes that were due in July 2024. On September 5, 2024, we repaid in full the $50.0 million 3.4% Senior Unsecured Notes that were due in September 2024.
At December 31, 2025 and 2024, our long-term obligations consisted of the following:
| December 31, 2025 | December 31, 2024 | ||||||||||
Notes payable 0.00% – 8.35%, due in monthly and annual installments through 2035 | $ | 17,051 | $ | 15,135 | |||||||
Senior unsecured notes 3.6%, due in 2025 | — | 125,000 | |||||||||
Senior unsecured notes 3.6%, due in 2026 | 125,000 | 125,000 | |||||||||
Term loan 4.9% floating, due in 2027 | 141,100 | 166,000 | |||||||||
Senior unsecured notes 4.8%, due in 2031, net of discount of $0.5 million | 599,512 | — | |||||||||
Senior unsecured notes 3.6%, due in 2032, net of discount of $0.6 million | 399,361 | 399,258 | |||||||||
| Finance Lease Liabilities | 25,339 | 23,753 | |||||||||
| Unamortized debt issuance costs | (8,346) | (3,830) | |||||||||
| $ | 1,299,017 | $ | 850,316 | ||||||||
| Current maturities of long-term obligations | (159,584) | (162,250) | |||||||||
| Total long-term obligations | $ | 1,139,433 | $ | 688,066 | |||||||
On July 2, 2024, we entered into a term loan with a syndicate of banks (the "Term Loan"). The Term Loan matures in July 2027. As of December 31, 2025 and 2024, $141.1 million and $166.0 million, respectively, was utilized under the Term Loan facility.
The aggregate long-term maturities, excluding finance lease liabilities and unamortized debt issuance costs, which are discussed in Note 8, due annually for the next five years and thereafter are:
| 2026 | $ | 156,528 | |||
| 2027 | 116,565 | ||||
| 2028 | 959 | ||||
| 2029 | 109 | ||||
| 2030 | 55 | ||||
| Thereafter | 1,007,808 | ||||
Covenants
Our amended revolving credit facility and corporate long-term obligations require us to satisfy certain financial and other covenants including:
| Requirement | Level at December 31, 2025 | ||||||||||
| Consolidated Leverage Ratio (1) | Maximum of 3.50 to 1.00 | 1.38 to 1.00 | |||||||||
| Consolidated Interest Coverage Ratio (1) | Minimum of 3.00 to 1.00 | 15.07 to 1.00 | |||||||||
(1)Definitions of ratios are included as part of the revolving credit facility agreement and the private placement agreements.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 6, 2026 | Showing above |
| 2024 | Feb 7, 2025 | |
| 2023 | Feb 9, 2024 | |
| 2022 | Feb 17, 2023 | |
| 2021 | Feb 18, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Feb 24, 2020 | |
| 2018 | Feb 21, 2019 | |
| 2017 | Feb 26, 2018 | |
| 2016 | Feb 27, 2017 | |
| 2015 | Feb 25, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.