Express Scripts (ESRX.O) is syndicating a $14 billion bridge loan that will help finance its $29.1 billion acquisition of rival Medco Health Solutions (MHS.N), banking sources said on Friday. The 364-day bridge loan, being arranged by Credit Suisse and Citigroup, is the biggest loan underwriting since a $20 billion underwriting done solely by JP Morgan in March to help AT&T (T.N) raise money to purchase T-Mobile USA from Deutsche Telekom (DTEGn.DE). Express Scripts on Thursday announced an agreement to buy Medco for $71.36 per share to create a powerhouse in managing prescription drug benefits. The jumbo M&A loan is a benchmark deal for the U.S. and global loan market and sends a clear message of confidence that banks are able to underwrite multibillion-dollar loans despite difficult capital market conditions.
Express Scripts, Inc. is a pharmacy benefit management (PBM) operating in North America, offering a range of services to its clients, which include health maintenance organizations (HMOs), health insurers, third-party administrators, employers, union-sponsored benefit plans, workers? compensation plans and Government health programs. Shares of ESRX traded higher by 2.61% or $1.445/share to $56.80. In the past year, the shares have traded as low as $41.55 and as high as $60.89. On average, 6258570 shares of ESRX exchange hands on a given day and today's volume is recorded at 7116045.
Medco Health Solutions, Inc. (Medco) is a healthcare company. Shares of MHS traded higher by 3.09% or $1.97/share to $65.80. In the past year, the shares have traded as low as $43.45 and as high as $66.38. On average, 4649480 shares of MHS exchange hands on a given day and today's volume is recorded at 5489075.
AT&T Inc. is a holding company. The Company is a provider of telecommunications services in the United States and worldwide. Shares of T fell by 0.79% or $-0.24/share to $30.04. In the past year, the shares have traded as low as $25.36 and as high as $31.94. On average, 22210500 shares of T exchange hands on a given day and today's volume is recorded at 10051277.
