Summary
Bristol-Myers Squibb Company (BMY) has announced an extension of the expiration date for its offers to exchange Celgene Corporation notes (Celgene Notes) for new BMY notes and cash, as well as related consent solicitations. The new expiration date is November 4, 2019, extended from October 31, 2019. This action is a crucial step in BMY's planned acquisition of Celgene, aiming to facilitate the integration of Celgene's debt into BMY's capital structure post-merger. Investors should note that the exchange offers and consent solicitations are contingent upon the successful closing of the Celgene acquisition, which is anticipated by the end of 2019. The extension provides additional time for these processes, reflecting the ongoing nature of the merger integration. The supplemental indentures to amend the Celgene Notes have been executed but will only become effective upon the settlement of the exchange offers.
Key Highlights
- 1Extension of expiration date for Celgene Notes exchange offers and consent solicitations to November 4, 2019.
- 2The exchange offers and consent solicitations are directly linked to the pending acquisition of Celgene by Bristol-Myers Squibb.
- 3The purpose of the exchange offers is to allow BMY to issue its own notes and cash in exchange for Celgene's existing notes.
- 4The consent solicitations aim to amend the indentures governing Celgene Notes, removing restrictive covenants and certain default provisions.
- 5Both the exchange offers and consent solicitations are conditioned on the closing of the Celgene merger.
- 6The settlement of these offers is expected to occur promptly after the new expiration date and on or about the merger closing date.
- 7The merger closing is still anticipated by the end of 2019, with potential for further extensions of the offer expiration date.