By Aleesia Forni
Virginia Beach, Va., Aug. 1 - Celgene Corp. priced a $1.5 billion three-part offering of senior notes during Thursday's session, according to a syndicate source.
The company sold $400 million 2.3% notes due 2018 at 99.792 to yield 2.34%, or 85 basis points over Treasuries. The notes were talked in the area of Treasuries plus 90 bps.
A $700 million tranche of 4% 10-year notes priced at 99.452 to yield 4.06%, or 135 bps over Treasuries.
Price talk was set in the area of Treasuries plus 140 bps.
Finally, a $400 million issue of 5¼% notes due 2043 was sold at 99.147 to yield 5.03%, or Treasuries plus 155 bps.
The notes were talked in the area of Treasuries plus 160 bps.
Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and J.P. Morgan Securities LLC were the bookrunners.
The company plans to use the proceeds for general corporate purposes, which may include further development of its clinical and pre-clinical programs, capital expenditures, general corporate development activities, meeting working capital needs, share repurchases of its common stock and repayment of some or all of its outstanding commercial paper.
Celgene is a Summit, N.J.-based biopharmaceutical company.
| Issuer: | Celgene Corp.
|
| Issue: | Senior unsecured notes
|
| Amount: | $1.5 billion
|
| Bookrunners: | Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC
|
| Trade date: | Aug. 1
|
| Settlement date: | Aug. 15
|
| Ratings: | Moody's: Baa2
|
| Standard & Poor's: BBB+
|
|
|
| Five-year notes
|
| Amount: | $400 million
|
| Maturity: | Aug. 15, 2018
|
| Coupon: | 2.3%
|
| Price: | 99.792
|
| Yield: | 2.34%
|
| Spread: | Treasuries plus 85 bps
|
| Price talk: | Treasuries plus 90 bps area
|
|
|
| 10-year notes
|
| Amount: | $700 million
|
| Maturity: | Aug. 15, 2023
|
| Coupon: | 4%
|
| Price: | 99.452
|
| Yield: | 4.06%
|
| Spread: | Treasuries plus 135 bps
|
| Price talk: | Treasuries plus 140 bps area
|
|
|
| 30-year notes
|
| Amount: | $400 million
|
| Maturity: | Aug. 15, 2043
|
| Coupon: | 5¼%
|
| Price: | 99.147
|
| Yield: | 5.03%
|
| Spread: | Treasuries plus 155 bps
|
| Price talk: | Treasuries plus 160 bps
|
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