Summary
Cencora, Inc. (formerly AmerisourceBergen Corporation) filed an 8-K report on March 26, 2021, detailing the pricing of a significant debt offering. The company successfully priced $1,525,000,000 in 0.737% Senior Notes due 2023 and $1,000,000,000 in 2.700% Senior Notes due 2031, totaling approximately $2.525 billion in aggregate principal amount. This offering is primarily intended to finance a portion of the previously announced acquisition of the majority of Walgreens Boots Alliance's Alliance Healthcare businesses. The company anticipates receiving net proceeds of approximately $2.51 billion after deducting underwriting discounts and expenses. The report also outlines the underwriting agreement and provides extensive forward-looking statements and risk factors related to the company's operations and the proposed acquisition.
Key Highlights
- 1Cencora, Inc. (formerly AmerisourceBergen Corporation) priced $2.525 billion in senior notes across two tranches.
- 2The Notes consist of $1,525,000,000 of 0.737% Senior Notes due March 15, 2023.
- 3The Notes also include $1,000,000,000 of 2.700% Senior Notes due March 15, 2031.
- 4Net proceeds are estimated at approximately $2.51 billion, intended to fund a portion of the Alliance Healthcare acquisition and for general corporate purposes.
- 5The sale of the Notes is subject to closing conditions and expected to be consummated on March 30, 2021.
- 6A mandatory redemption clause is in place if the Alliance Healthcare acquisition is not completed by January 6, 2022, or if the related Share Purchase Agreement is terminated.
- 7The filing includes a comprehensive list of forward-looking statements and risk factors, particularly concerning the proposed acquisition and various operational risks.