LabCorp gets early tenders for $174.86 million 4.625% notes due 2020

By Marisa Wong

Los Angeles, Dec. 3 – Laboratory Corp. of America Holdings announced that holders had tendered $174,863,000 of its $600 million 4.625% senior notes due 2020 as of 5 p.m. ET on Dec. 2, the early tender deadline of its cash tender offer for up to $300 million of the notes.

LabCorp has accepted all $174,863,000 of the early tendered notes for purchase, according to a Tuesday press release.

The company expects to make payment for the notes on Dec. 4.

As announced on Nov. 18, the purchase price will be calculated using a fixed spread of 30 basis points and the 1.5% U.S. Treasury due Aug. 15, 2020 as a reference rate. Pricing will be set at 10 a.m. ET on Dec. 3.

Holders who tendered their notes by the early tender deadline will receive an early tender premium of $30 per $1,000 principal amount.

The offer will expire at 11:59 p.m. ET on Dec. 16. Final settlement is expected to be Dec. 18.

Tenders may no longer be withdrawn.

The offer is subject to a financing condition based on the completion of an offering of $800 million of new notes.

BofA Securities Inc. (980 387-3907 or 888 292-0070), US Bancorp (612 336-7604 or 877 558-2607) and Wells Fargo Securities (704 410-4759 or 866 309-6316) are acting as dealer managers for the tender offer.

D.F. King & Co., Inc. (212 269-5550 for banks and brokers or 888 625-2588 for all others or labcorp@dfking.com) is the tender agent and information agent.

Burlington, N.C.-based LabCorp develops diagnostic technologies through genomic testing.

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