Cambrex eyes upsized revolver draw for $252 million Avista purchase

By Susanna Moon

Chicago, Nov. 20 – Cambrex Corp. said it plans to use borrowings under its revolving credit facility to help fund its planned acquisition of Avista Pharma Solutions for about $252 million in cash.

The revolver will be upsized through the accordion in connection with the deal, and Cambrex has secured committed financing for the proposed increase, according to a company announcement.

The acquisition will also be funded with cash on hand.

The deal is expected to close in the fourth quarter of 2018.

Afterward, Cambrex’s net leverage ratio pro forma for the transaction is expected to be about 2.4 times EBITDA.

Cambrex develops and commercializes small molecule active pharmaceutical ingredients. The life sciences company is based in East Rutherford, N.J.

Avista is a contract development, manufacturing and testing organization based in Durham, N.C.

© 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.