Omnicare starts roadshow for $250 million 10-year notes

By Paul A. Harris

St. Louis, June 4 - Omnicare, Inc. began the roadshow Wednesday for an offering of $250 million of senior subordinated notes due 2013 (Ba2/BB+), according to a syndicate source.

The deal is expected to price early during the week of June 9.

Lehman Brothers, JP Morgan and UBS Warburg are joint bookrunners for the off-the-shelf offering. SunTrust Robinson Humphrey, Wachovia Securities, Inc. and CIBC World Markets are co-managers.

The notes will be non-callable for five years and will contain a three year equity clawback for up to 35%.

Concurrently the Covington, Ky.-based provider of pharmacy and related services to institutional health care facilities is offering 5.625 million shares of common stock and $250 million Preferred Income Equity Redeemable Securities through Omnicare Capital Trust I. The company will also obtain a new $750 million credit facility.

Proceeds from the bonds, along with $250 million under the term loan portion of the new credit facility, will be used to repay the existing $474 million credit facility.

© 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.