Pfizer plans $31 bln debt offering to fund Seagen takeover (updated)
17/05/2023 01:15
(Adds details from Pfizer statement, background on Seagen deal)
May 16 (Reuters) - Pfizer Inc PFE.N said on Tuesday it
plans to raise $31 billion from a debt offering to finance its
proposed acquisition of Seagen Inc SGEN.O .
Pfizer struck a $43 billion deal in March to acquire Seagen
and its targeted cancer therapies as it prepares for a steep
fall in COVID-19 sales and generic competition for some
top-selling drugs.
The company has been pumping billions of dollars into
research and acquisitions to mitigate an anticipated $17 billion
hit to revenue by 2030 from patent expirations for top drugs,
and a decline in demand for COVID products.
The debt offering, which would be in eight tranches, is
expected to close on May 19, the company said, adding that BofA
Securities, Citigroup C.N , Goldman Sachs GS.N and J.P.
Morgan JPM.N are acting as the joint lead managers and joint
book-running managers.
(Reporting by Kanjyik Ghosh in Bengaluru; Editing by Subhranshu
Sahu)
((Kanjyik.Ghosh@thomsonreuters.com))