Smurfit Kappa has announced a senior note offering of €500 million due 2021.

The proceeds from this issue combined with existing cash resources will be used to refinance the existing €500 million senior note which matures in 2019 according to Davy Stockbrokers.

The note is being offered in a private placement and there will be no public offering.

Earlier this month, the packaging group reported strong growth in its first quarter earnings on the back of a strong performance in its Americas business.

Earnings before interest, tax depreciation and amortisation climbed by 12 per cent to €269 million, while operating profits rose by 21 per cent to €169 million. Revenues rose by 2 per cent to €1.9 billion.

The company said the strong results also reflected price improvements in its European packaging operations, with European box prices up two per cent.