Jun 16 2010
Teva Pharmaceutical Industries Limited (NASDAQ: TEVA) ("Teva") announced today that it successfully priced the offering, by its special purpose finance subsidiaries, of a debt offering in three tranches:
- $500 million of LIBOR+0.40% floating rate senior notes maturing in December 2011;
- $1.0 billion of 1.50% fixed rate senior notes maturing in June 2012; and
- $1.0 billion of 3.00% fixed rate senior notes maturing in June 2015.
The notes will be sold at a price of $1,000.00, $999.02 and $998.76 per $1,000 principal amount, respectively, and are expected to be rated A3 by Moody's Investor Services and A- by Standard & Poor's. These notes will be guaranteed by Teva.
These securities are being offered pursuant to Teva's effective shelf registration statement previously filed with the Securities and Exchange Commission. The offering of these senior notes is being made by a group of underwriters led by Credit Suisse Securities (USA) LLC, Goldman, Sachs & Co. and Morgan Stanley & Co. Inc. Offers and sales of the senior notes may be made only by the related prospectus and prospectus supplement. Barclays Capital Inc. and Citigroup Global Markets Inc. are acting as passive book-running managers for the offering. Closing of the offering is expected on June 18, 2010.
Teva expects to use the proceeds from this offering to pay a portion of the purchase price for the acquisition of Merckle-ratiopharm group, repay approximately $800 million of existing debt and for general corporate purposes. Following the successful closing of the offering, Teva, in combination with committed loan facilities and cash on hand, will have secured sufficient financing to finance the acquisition of ratiopharm.
Source:
Teva Pharmaceutical Industries Ltd.,