Feb 21 2012
Mylan Inc. (Nasdaq: MYL) today announced that it has entered into a facility agreement with a syndicate of banks to securitize up to $300 million of U.S. accounts receivable. The facility is committed and has a maturity of three years. The interest rate on any outstanding borrowings will be more than 100 basis points lower than the rate on the company's secured credit facilities.
Mylan Chief Financial Officer John Sheehan said: "We are pleased to have entered into this facility as it builds on our secured credit facility refinancing executed in November of last year and further serves to lower our weighted average borrowing costs. Today, Mylan has $1.55 billion of available committed financing through our secured credit and receivables financing facilities, providing the company with substantial operating flexibility."
Any amounts outstanding under the facility will be recorded as a secured loan and the receivables underlying any borrowings will continue to be included in the company's consolidated balance sheets.