By Paul A. Harris
Portland, Ore., Aug. 4 – Emergent BioSolutions Inc. priced an upsized $450 million issue of eight-year senior notes at par to yield 3 7/8% on Tuesday, according to market sources.
The issue size increased from $400 million.
The yield printed at the tight end of yield talk in the 4% area and deep inside of the 4½% to 4¾% initial guidance, a bond trader said, adding that the deal was heard to be playing to $4.5 billion of orders at 3 7/8%.
Timing was moved ahead. The deal was announced earlier in the day as Wednesday business.
Wells Fargo Securities LLC was the left bookrunner.
The Rockville, Md.-based life sciences company plans to use the proceeds to repay debt under its revolving credit facility and for general corporate purposes.
| Issuer: | Emergent BioSolutions Inc.
|
| Amount: | $450 million, increased from $400 million
|
| Maturity: | Aug. 15, 2028
|
| Securities: | Senior notes
|
| Left bookrunner: | Wells Fargo Securities LLC
|
| Joint bookrunners: | J.P. Morgan Securities LLC, PNC Capital Markets LLC and RBC Capital Markets LLC
|
| Co-managers: | BMO Capital Markets Corp., Capital One Securities Inc., Citizens Capital Markets Inc., Huntington Investment Co., MUFG, Truist Securities Inc. and Regions Securities LLC
|
| Coupon: | 3 7/8%
|
| Price: | Par
|
| Yield: | 3 7/8%
|
| Spread: | 346 bps
|
| Call protection: | Two years
|
| Trade date: | Aug. 4
|
| Settlement date: | Aug. 7
|
| Ratings: | Moody's: Ba3
|
| S&P: BB-
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 4% area
|
| Marketing: | Drive-by
|
|
|
© 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.
