Valeant Pharmaceuticals has lined up $15.5 billion in debt financing from Barclays and RBC Capital Markets to fund its proposed $47 billion purchase of Allergan Inc., the company said on Tuesday in a press release. Valeant said that the committed financing would include secured bonds, unsecured bonds and bank debt. The new debt will have an interest margin of around 5.5 percent, subject to market conditions.The new term loan is expected to include dollar and euro debt, banking sources said.Canada-based Valeant detailed a proposal to purchase the BOTOXotox maker for $48.30 per share in cash and 0.83 of its common stock for each Allergan share on Tuesday, which will give Allergan shareholders 43 percent of the combined company. [ID: nL3N0NE34X]Allergan said that it intends to evaluate the unsolicited offer, and noted that it has not started discussions with Pershing Square, Allergan's largest shareholder.
Allergan, Inc. is a multi-specialty health care Company focused on developing and commercializing pharmaceuticals, biologics, medical devices and over-the-counter products. Shares of AGN traded higher by 15.75% or $22.37/share to $164.37. In the past year, the shares have traded as low as $81.33 and as high as $142.00. On average, 3082310 shares of AGN exchange hands on a given day and today's volume is recorded at 25424064.
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