Sun Pharma to Raise Rs 10,000 Crore Through Bond Issue to Refinance Organon Acquisition Loan
Mumbai: Sun Pharmaceutical Industries plans to raise 100 billion rupees (USD1.05 billion), including a greenshoe option of 30 billion rupees, through two tranches of five-year and one-day bonds, three merchant bankers said on Monday.
The issuer plans to raise up to 30 billion rupees through the first tranche, which will have a put option at end of 17 months, and at least 50 billion rupees with a greenshoe of 20 billion rupees through a bullet structure maturity.
It will pay an annual coupon of 8.05% and 8.20% on these papers, and has invited bids from bankers and investors on Thursday.
The company did not reply to a Reuters email seeking comment.
Late last month, Reuters had reported that Sun Pharma, is likely to raise rupee debt to partly refinance a dollar bridge loan availed for its acquisition of New York-listed healthcare company Organon.
Bridge loans are short-term loans taken before acquisitions to provide financing for the deal, and can be replaced with more permanent funding via bonds or loans.
Disclaimer: This website is primarily for healthcare professionals. The content here does not replace medical advice and should not be used as medical, diagnostic, endorsement, treatment, or prescription advice. Medical science evolves rapidly, and we strive to keep our information current. If you find any discrepancies, please contact us at corrections@medicaldialogues.in. Read our Correction Policy here. Nothing here should be used as a substitute for medical advice, diagnosis, or treatment. We do not endorse any healthcare advice that contradicts a physician's guidance. Use of this site is subject to our Terms of Use, Privacy Policy, and Advertisement Policy. For more details, read our Full Disclaimer here.
NOTE: Join us in combating medical misinformation. If you encounter a questionable health, medical, or medical education claim, email us at factcheck@medicaldialogues.in for evaluation.