New Issue: Cheplapharm prices €1 billion equivalent secured notes in two parts

By Paul A. Harris

Portland, Ore., Oct. 8 – Cheplapharm Arzneimittel GmbH priced €1 billion equivalent of 7.25-year senior secured notes (B2/B/BB-) in two parts on Thursday, according to market sources.

The deal includes a €575 million tranche of notes that priced at par to yield 4 3/8%, on top of final talk and tight to earlier talk in the 4½% area.

The offering also included a $500 million tranche of notes that priced at par to yield 5½%, tight to final talk of 5½% to 5 5/8% and inside of earlier talk the 5¾% area.

JPMorgan will bill and deliver, and along with Deutsche Bank, Credit Suisse and HSBC, are global coordinators and bookrunners.

The Greifswald, Germany-based pharmaceutical company plans to use the proceeds, along with cash on hand, to buy 23 products from four different pharmaceutical companies.

Issuer:	Cheplapharm Arzneimittel GmbH
Amount:	€1 billion
Maturity:	Jan. 15, 2028
Securities:	Senior secured notes
Global coordinators:	JPMorgan (bill and deliver), Deutsche Bank (GC), Credit Suisse and HSBC
Bookrunners:	JPMorgan, Deutsche Bank, Credit Suisse and HSBC
Call protection:	3.25 years
Trade date:	Oct. 8
Settlement date:	Oct. 15
Ratings:	Moody's: B2
	S&P: B
	Fitch: BB-
Distribution:	Rule 144A and Regulation S
Euro-denominated notes
Amount;	€575 million
Coupon:	4 3/8%
Price:	Par
Yield:	4 3/8%
Spread:	504 bps
Price talk:	4 3/8%, revised from 4½% area
Dollar-denominated notes
Amount:	$500 million
Coupon:	5½%
Price:	Par
Yield:	5½%
Spread:	492 bps
Price talk:	5½% to 5 5/8%, revised from 5¾% area
	Bookrunners: JPM (GC/B&D), DB (GC), CS, HSBC

© 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.