Summary
Becton, Dickinson and Company (BDX) announced on May 18, 2017, the redemption of approximately $1.7 billion in outstanding notes. This action includes various notes due in 2017, 2019, 2023, and 2044, issued by both BDX and its subsidiary CareFusion Corporation. The redemption is scheduled to occur on June 19, 2017, with the company expecting to fund this through new debt offerings. This move is directly tied to BDX's previously announced acquisition of C. R. Bard, Inc. The proceeds from the new note issuances will be used to finance a portion of the cash consideration for the Bard acquisition, alongside covering the redemption costs, accrued interest, premiums, fees, and related expenses. Investors should view this as a step in the financing strategy for the significant Bard acquisition.
Key Highlights
- 1BDX is redeeming $1.7 billion of outstanding notes.
- 2The redemption includes notes from BDX and its subsidiary CareFusion Corporation.
- 3The redemption date is set for June 19, 2017.
- 4Proceeds from new debt offerings will be used to fund the redemption.
- 5The primary purpose of the new debt issuance is to finance the acquisition of C. R. Bard, Inc.
- 6This filing also covers related premiums, fees, and expenses associated with the redemption and acquisition.