Actavis gets commitment for bridge, term loans to fund Forest merger

By Toni Weeks

San Luis Obispo, Calif., Feb. 19 - Actavis plc entered into a commitment letter on Feb. 17 with Bank of America, NA, Mizuho Bank, Ltd., Mizuho Securities USA Inc. and BofA Merrill Lynch to fund the cash portion of its merger with Forest Laboratories, Inc., according to an 8-K filing with the Securities and Exchange Commission.

Under the agreement, the lenders will finance (i) a senior unsecured cash bridge tranche up to $3 billion, (ii) an up to $1.75 billion senior unsecured five-year term loan, (iii) up to $2.25 billion in gross proceeds from the issuance and sale of senior unsecured notes and (iv) if the credit documentation for the five-year term loan does not become effective and/or the notes are not issued and sold, up to $4 billion of loans under a senior unsecured bridge facility.

Proceeds will be used to finance the merger and fees and expenses related to the merger.

Actavis is a pharmaceutical company with headquarters in Dublin.

© 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.