Methanex (MEOH, MX.TO) said Tuesday it launched a $500 million private placement of senior unsecured notes maturing in 2032 through its US subsidiary.

Net proceeds from the proposed offering will be used to fund part of the $1.15 billion cash portion of Methanex' planned acquisition of OCI Global's international methanol business. Under terms of the proposed transaction announced in September, Methanex also will assume around $450 million in debt and leases and issue $450 million of its common shares to OCI Global, which will have a 13% stake in Methanex after the deal closes during the first half of 2025.

MEOH shares were gaining almost 1% in recent premarket activity.