Allergan proposes public offering of senior notes to refinance existing debt
May 10, 2017Allergan announced that it expects to commence an offering of euro-denominated senior unsecured notes in multiple tranches in the coming weeks.
The notes, which are expected to have maturities of up to 12 years, will be issued in a registered public offering by Allergan’s indirect subsidiary, Allergan Funding SCS , and guaranteed by its indirect subsidiaries Warner Chilcott Limited, Allergan Capital S.à r.l. and Allergan Finance, LLC, the company announced in its press release on Wednesday.
Allergan said that it intends to use the net proceeds from the offering of the Notes to fund the purchase of the existing USD notes validly tendered and accepted for purchase pursuant to the cash tender offer commenced today by certain of its subsidiaries, including Allergan Funding SCS, as further described in the offer to purchase for the Tender Offer and, to the extent of any remaining proceeds, for general corporate purposes.
The company expects that the Tender Offer combined with the Notes issuance will be largely leverage neutral and is not expected to impact current credit ratings.
Allergan said that it has selected Barclays, BNP Paribas, HSBC, and Morgan Stanley to organize a series of European fixed income investor meetings, expected to commence on Tuesday, May 16th, 2017.
