Humana completed a public offering of $1.0 billion aggregate principal amount of fixed-to-fixed rate junior subordinated notes due 2056, priced at a 6.625% coupon. The issuance was conducted under an effective shelf registration statement and managed by several joint book-running managers including Goldman Sachs and J.P. Morgan.

Humana expects to receive approximately $986 million in net proceeds after deducting underwriting discounts and offering expenses. The company intends to allocate these funds to general corporate purposes, notably including repayment of existing indebtedness such as borrowings under its commercial paper program.

The new subordinated notes extend Humana’s debt maturity profile and add fixed-rate financings, potentially increasing annual interest obligations by roughly $66.3 million. This capital raise may strengthen liquidity but could exert pressure on credit metrics and interest expense coverage ratios.