Teva Announces $2.06 Bln Senior Notes Offering, $2.25 Bln Debt Tender Offers For Notes

(RTTNews) - Teva Pharmaceutical Industries Ltd. (TEVA) announced Monday its intention to issue $2.06 billion equivalent of sustainability-linked senior notes.

Separately, the company announced that it has commenced debt tender offers to purchase for cash for a combined aggregate purchase price of up to $2.25 billion of certain series of notes due 2023-2026 issued by its finance subsidiaries, and guaranteed by Teva.

Regarding its $2.06 billion senior notes, the company said the notes offering reflects its continued strong commitment to sustainable finance to help address challenges.

The sustainability-linked senior notes will be issued under Teva's sustainability-linked financing framework established in October 2021, as updated in July 2022.

The offering is subject to, among other things, market conditions. Teva expects to use the net proceeds from the offerings, together with cash on hand, to fund the announced tender offers to purchase, for cash, its various notes.

These include its 7.125% Senior Notes due 2025, 6.000% Senior Notes due 2025, 4.500% Senior Notes due 2025, 2.800% Senior Notes due 2023, 6.000% Senior Notes due 2024 and 3.150% Senior Notes due 2026.

The net proceeds will also be used to pay fees and expenses in connection therewith, and to the extent of any remaining proceeds, the repayment of outstanding debt upon maturity, tender offer or earlier redemption.

Net proceeds may be temporarily invested pending application for their stated purpose.

The Notes will be unsecured senior obligations of the Issuers and will be unconditionally guaranteed on a senior basis by Teva.