Summary
Cencora, Inc. (COR) announced on May 19, 2025, that it has entered into an Underwriting Agreement to issue and sell €1 billion in aggregate principal amount of senior unsecured notes. This offering comprises €500 million of 2.875% Senior Notes due 2028 and €500 million of 3.625% Senior Notes due 2032. The company anticipates receiving net proceeds of approximately €994.0 million from this transaction, after accounting for underwriting discounts and offering expenses. The proceeds from this offering are earmarked for general corporate purposes. Pending their ultimate use, Cencora plans to invest these funds in high-quality, short-term debt securities. This move to secure additional long-term financing suggests a strategic approach to capital management and potentially funding ongoing or future business initiatives.
Key Highlights
- 1Cencora Inc. is issuing €1 billion in senior unsecured notes, split equally between €500 million due 2028 and €500 million due 2032.
- 2The 2028 Notes will carry a coupon of 2.875%, and the 2032 Notes will carry a coupon of 3.625%.
- 3The company expects to receive net proceeds of approximately €994.0 million after underwriting fees and expenses.
- 4Proceeds are intended for general corporate purposes and will be temporarily invested in short-term debt securities.
- 5The offering is registered under an existing shelf registration statement, indicating prior SEC review and preparation.
- 6Several major financial institutions, including BNP PARIBAS, Citigroup Global Markets Limited, J.P. Morgan Securities plc, and Société Générale, are acting as underwriters.
- 7The filing notes extensive existing relationships between the underwriters and Cencora, including roles in various credit facilities and commercial paper programs.