Grifols Completes a €2 Billion Bond Issue
The bond proceeds will be used to finance the $1.3 billion (€1.1 billion) purchase of the entire share capital of Tiancheng Pharmaceutical Holdings, which in turn owns 89.8% of the ordinary shares and 1.08% of the preferred shares of Biotest. The proceeds will also be used to finance the voluntary public tender offer for the remaining ordinary and preferred shares of Biotest not held by Tiancheng.
Grifols closes its macro bond issue. The Spanish pharmaceutical company announced on Wednesday, October 6th, that it has completed its $2.3 billion (€2 billion) senior unsecured bond issue, according to a statement sent by the company to the Spanish Securities and Exchange Commission (CNMV).
This issue matures in 2028 and serves to finance the investment in the German company Biotest. The issue has been divided into two tranches: the first for $1.6 billion (€1.4 billion) and a coupon of 3.875%, and a tranche in dollars, equivalent to $693 million (€600 million) and a coupon of 4.75%.
The bond proceeds will be used to finance the $1.3 billion (€1.1 billion) purchase of the entire share capital of Tiancheng Pharmaceutical Holdings, which in turn owns 89.8% of the ordinary shares and 1.08% of the preferred shares of Biotest.
Read more about Grifols’ bond issue and discover the world’s most interesting financial news with the mobile app Born2Invest. The app provides its readers access to the latest news in global business, stock market, finance news, and also trending topics like bitcoin, cryptocurrency, and biotech.
The Grifols bond issue matures in 2028 and will be used to finance the purchase of Biotest
The proceeds from the bonds will also be used to finance the voluntary public tender offer for the remaining ordinary and preferred shares of Biotest not held by Tiancheng.
The issue, which began on September 27th, 2021, was closed in record time “given the good acceptance it has had among financial investors, who understand and value positively the unique and transformational opportunity that the investment in Biotest represents for Grifols,” according to the company.
Grifols’ chief financial officer, Alfredo Arroyo, explained that “demand was seven times the amount issued in dollars and nearly twice the amount issued in euros, which has allowed the effective price of the issue to improve to 3.9%”.
Grifols has four divisions, bioscience, diagnostic, hospital, and bio supplies, which develop, produce and market innovative solutions and services in more than 100 countries. The group is one of the largest plasma companies, with a growing network of donation centers around the world. With the plasma obtained, Grifols produces medicines to treat chronic, rare, and sometimes very serious diseases.
In 2020, Grifols’ total economic impact in the main countries where it operates was estimated at $8.7 billion (€7.5 billion), and 140,000 jobs were generated, including direct, indirect, and induced employment.
(Featured image by geralt via Pixabay)
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in PlantaDoce, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Ethereum: Will the Shanghai Upgrade Make it Easier to Detect Criminals?
With Ethereum's deployment yield acting as a "risk-free interest rate" for the crypto ecosystem, the Shanghai upgrade may have improved...
Self-Consumption Revolution in Spain Plunges Electricity Demand to a 20-Year Low
Red Eléctrica has a monthly index (IRE) that analyzes electricity consumption by sector. The biggest falls in the last published,...
Green Hydrogen: How Can Morocco Meet 4 to 8% of Global Demand?
As a world leader in the production and export of green hydrogen, Morocco could supply 4 or even 8% of...
Sicit Acquires 51% of Plant Biostimulants from Chile’s Patagonia Biotechnology
Sicit specializes in the transformation of leather by-products into biostimulants for agriculture and retardants for the gypsum industry. The company...
Consolidation of the Fintech Sector Reinforces Mastercard’s Commitment to the Sector
Mauricio Schwartzmann, CEO of Mastercard Mexico, stressed that the firm's involvement with financial technology is long-term and goes hand in...
Business1 week ago
Gold and its Open Interest: Should You Invest in Gold?
Biotech1 day ago
Laminar Pharma Opens a €5 Million Round through Capital Cell
Crowdfunding1 week ago
The FastucUP Campaign, Created to Encourage Sicilian Agribusiness Exports Started
Crypto2 weeks ago
Adomos Launches the First Global Platform Dedicated to Real Estate NFTs