New Issue: Elan prices upsized $600 million seven-year notes at par to yield 6¼%

By Paul A. Harris

Portland, Ore., Sept. 25 - Elan Finance Public Ltd. and Elan Finance Corp. priced an upsized $600 million issue of seven-year senior notes (B1/BB-/) at par to yield 6¼% on Tuesday, according to a syndicate source.

The yield printed on top of yield talk.

Morgan Stanley & Co. LLC was the bookrunner for the quick-to-market issue, which was upsized from $500 million.

The Dublin-based biotechnology company plans to use the proceeds to fund tender offers for its notes maturing in 2016.

Issuers:	Elan Finance Public Ltd. and Elan Finance Corp.
Amount:	$600 million, increased from $500 million
Maturity:	Oct. 15, 2019
Securities:	Senior notes
Bookrunner:	Morgan Stanley & Co. LLC
Co-managers:	J & E Davy, Gleacher & Co. Securities, Inc.
Coupon:	6¼%
Price:	Par
Yield:	6¼%
Spread:	517 bps
Call features:	Make-whole call at Treasuries plus 50 bps until Oct. 15, 2015, then callable at 104.688, 103.125, 101.563, par on and after Oct. 15, 2018
Equity clawback:	35% at 106.25 until Oct. 15, 2015
Change-of-control put:	101%
Trade date:	Sept. 25
Settlement date:	Oct. 1
Ratings:	Moody's: B1
	Standard & Poor's: BB-
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	6¼% area
Marketing:	Quick to market

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