Merck Prices EUR 2.5 Bln Debt Offering

(RTTNews) - Merck & Co., Inc. (MRK) said Monday that it has priced EUR 2.5 billion public offering of three series of Euro-denominated senior unsecured notes, consisting of EUR 1.0 billion of 1.125% notes due Oct. 2021, EUR 1.0 billion of 1.875% notes due Oct. 2026 and EUR 500 million of 2.500% notes due Oct. 2034.

The offering is expected to close on October 15.

The company plans to use all or a substantial portion of the net proceeds from the offering of the New Notes to purchase notes and debentures that are validly tendered in connection with tender offers launched by the company for certain outstanding notes and debentures.

If there are net proceeds remaining after the tender offers, the company plans to redeem in whole or in part, its 4.00% Notes due 2015 and 6.00% Senior Notes due 2017. Any remaining net proceeds will be used for general corporate purposes, including without limitation the repayment of outstanding commercial paper borrowings and other indebtedness with upcoming maturities.

If the net proceeds of the offering for the New Notes are insufficient to pay for all of the notes and debentures acquired by the company in the tender offers, the company will fund any additional amounts from cash on hand, commercial paper borrowings or other amounts available to the company.