OTIS · Otis Worldwide Corporation

Otis Worldwide Corporation completed a $700 million senior unsecured notes offering on May 7, 2026, providing approximately $695.2 million in net proceeds after underwriting discounts and expenses. The primary purpose is to refinance €600 million principal of its lower-yielding 0.318% notes due December 15, 2026, effectively extending maturities from late 2026 to May 2029 while increasing the blended interest cost on this portion of debt. Remaining proceeds will reduce short-term commercial paper borrowings and support general corporate needs. The notes carry a 4.488% coupon payable semi-annually starting November 7, 2026, with flexible redemption options: make-whole premium prior to April 7, 2029 (Treasury rate +10 bps), and par thereafter. Issued under an existing shelf registration (S-3ASR File No. 333-293482), the offering was led by J.P. Morgan, Morgan Stanley, and SMBC Nikko, with The Bank of New York Mellon Trust Company, N.A. as trustee under the February 2020 base indenture supplemented by Supplemental Indenture No. 6. The notes rank equally with other unsecured unsubordinated debt, issued in $2,000 minimum denominations, and include standard covenants limiting liens, mergers, and sale-leasebacks, plus change of control repurchase rights at 101%. This refinancing extends debt maturities and maintains investment-grade access while managing near-term euro-denominated obligations.