By Cristal Cody
Eureka Springs, Ark., June 9 – Fortive Corp. sold a $200 million add-on to its 4.3% senior notes (Baa1/BBB) due June 15, 2046 on Thursday at 173 basis points over Treasuries, according to a market source and a company news release.
The company originally sold $350 million of the notes at 175 bps over Treasuries on Monday. The total outstanding is $550 million.
The bonds were sold in connection with Fortive’s spinoff from Danaher Corp., which will guarantee the notes until the spinoff occurs.
Barclays, Goldman Sachs & Co. and Morgan Stanley & Co. LLC were the bookrunners for the Rule 144A offering.
Fortive intends to use the proceeds from the sale of the reopening to make payments to Danaher for the contribution of assets to Fortive by Danaher in connection with the separation, to pay related fees and expenses and for general corporate purposes. Fortive expects that the proceeds of the additional 30-year notes will reduce incrementally other types of debt it had anticipated incurring to fund such payments.
Fortive is an industrial growth company based in Everett, Wash.
Washington, D.C.-based Danaher is a science and technology company.
| Issuer: | Fortive Corp.
|
| Guarantor: | Danaher Corp.
|
| Amount: | $200 million reopening
|
| Maturity: | June 15, 2046
|
| Securities: | Senior notes
|
| Bookrunners: | Barclays, Goldman Sachs & Co., Morgan Stanley & Co. LLC
|
| Coupon: | 4.3%
|
| Spread: | Treasuries plus 173 bps
|
| Pricing date: | June 9
|
| Settlement date: | June 20
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB
|
| Distribution: | Rule 144A
|
| Total outstanding: | $550 million, including $350 million priced June 6 at 175 bps over Treasuries
|
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