Mallinckrodt gets $1.1 billion bridge loan commitment for Therakos buy

By Sara Rosenberg

New York, Aug. 10 – Mallinckrodt plc has received a commitment for a $1.1 billion unsecured bridge loan to help fund its acquisition of Therakos Inc. and to refinance Therakos’ existing debt, according to an 8-K filed with the Securities and Exchange Commission on Monday.

Barclays is the lead bank on the debt.

The borrower of the debt will be Mallinckrodt International Finance SA.

Under the agreement, Therakos is being bought from the Gores Group for about $1,325,000,000.

Other funds for the transaction will come from cash on hand.

Mallinckrodt’s net debt leverage is expected to remain below 4 times at closing, company officials said in a conference call.

Closing is expected in the latter part of the third quarter, subject to regulatory approvals and other customary conditions.

Mallinckrodt is a U.K.-based specialty biopharmaceutical company with U.S. headquarters in St. Louis. Therakos is a West Chester, Pa.-based immunotherapy company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.