- Highly successful inaugural CHF senior bonds priced earlier today
- Two tranches of CHF 400 million and CHF 350 million with maturities of 3 and 8 years, carrying 2.125% and 2.600% fixed coupons, respectively
- Proceeds to partially repay bridge loan facility and for general corporate purposes
Basel, October 26, 2023 – Sandoz, the global leader in generic and biosimilar medicines, today announced the issuance of two highly successful inaugural CHF bonds with gross proceeds of CHF 750 million.
This debut transaction was driven by overwhelming investor demand and marks a solid entry for Sandoz as a borrower in debt capital markets.
Colin Bond, Sandoz CFO said: 'The inaugural bonds are a milestone in our financial strategy as an independent company and establish Sandoz as a new issuer in the CHF bond market.'
The bonds carry 2.125% and 2.600% fixed coupons with tenors of 3 and 8 years, maturing on 17.11.2026 and 17.11.2031, respectively.
The proceeds will be used for partial repayment of a bridging loan and general corporate purposes.
Sandoz continues to target a net debt to core EBITDA ratio of 1.7 to 2.0 times and to maintain its solid investment grade rating.
Sandoz is rated Baa2 (stable outlook) by Moody’s and BBB (stable outlook) by S&P, and both agencies are expected to rate the bonds with ratings of Baa2 and BBB, respectively.
The transaction was led by BNP Paribas and UBS as Joint Lead Managers; Advestra supported Sandoz as legal advisor on the transaction.
Disclaimer
This Media Release contains forward-looking statements, which offer no guarantee with regard to future performance. These statements are made on the basis of management’s views and assumptions regarding future events and business performance at the time the statements are made. They are subject to risks and uncertainties including, but not confined to, future global economic conditions, exchange rates, legal provisions, market conditions, activities by competitors and other factors outside of the control of Sandoz. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. Each forward-looking statement speaks only as of the date of the particular statement, and Sandoz undertakes no obligation to publicly update or revise any forward-looking statements, except as required by law.
The distribution of this Media Release may be restricted by law in certain jurisdictions and persons into whose possession any document or other information referred to herein comes should inform themselves about and observe any such restriction. Any failure to comply with applicable securities laws in such jurisdiction may constitute a violation of the securities laws of such jurisdiction.
This Media Release does not constitute or form part of an offer to sell securities of Sandoz Group AG or the solicitation of any offer to subscribe for or otherwise buy securities of Sandoz Group AG, to any person in Australia, Canada, Japan or the United States, or in any jurisdiction to whom or in which offer or solicitation is unlawful.
About Sandoz
Sandoz (SIX: SDZ; OTCQX: SDZNY) is the global leader in generic and biosimilar medicines, with a growth strategy driven by its Purpose: pioneering access for patients. 22,000 people of more than 100 nationalities work together to bring Sandoz medicines to some 500 million patients worldwide, generating substantial global healthcare savings and an even larger total social impact. Its leading portfolio of more than 1500 products addresses diseases from the common cold to cancer. Headquartered in Basel, Switzerland, Sandoz traces its heritage back to the year 1886. Its history of breakthroughs includes Calcium Sandoz in 1929, the world’s first oral penicillin in 1951, and the world’s first biosimilar in 2006. In 2022, Sandoz achieved sales of USD 9.1 billion and core EBITDA of USD 1.9 billion.
Global Media Relations contacts | Investor Relations contacts |
Global.MediaRelations@sandoz.com | Investor.Relations@sandoz.com |
Joerg E. Allgaeuer +49 171 838 4838 | Karen M. King +1 609 722 0982 |
Chris Lewis +49 174 244 9501 | Laurent de Weck +41 79 795 7364 |
Attachment
- Global CHF bond issuance Oct 2023 final