Summary
Danaher Corporation (DHR) announced on April 8, 2020, the issuance of an aggregate of €750,000,000 in additional senior notes. This offering includes €150,000,000 of 1.700% Senior Notes due 2024, €300,000,000 of 2.100% Senior Notes due 2026, and €300,000,000 of 2.500% Senior Notes due 2030. The net proceeds from this offering, estimated at approximately €753.7 million after expenses, are intended for general corporate purposes, including potential repayment of commercial paper and existing revolving credit facilities. These notes are unsecured and rank equally with other unsubordinated debt. The offering was conducted under Danaher's existing shelf registration statement. The company has also detailed provisions for early redemption at its option, including make-whole premiums and par calls, as well as a change of control provision requiring repurchase at 101% of principal if a change of control triggering event occurs. This move diversifies Danaher's debt maturity profile and provides financial flexibility.
Key Highlights
- 1Danaher raised €750 million through a new offering of senior notes across three series: 2024, 2026, and 2030 maturities.
- 2The offering generated net proceeds of approximately €753.7 million, intended for general corporate purposes.
- 3Proceeds may be used to repay outstanding commercial paper and amounts borrowed under revolving credit facilities, indicating a proactive debt management strategy.
- 4The notes are unsecured and rank equally with other unsubordinated indebtedness of Danaher.
- 5The company has included provisions for early redemption, offering flexibility for debt management at its discretion.
- 6A change of control provision mandates a repurchase of notes at 101% of principal if a specified triggering event occurs, offering protection to noteholders.
- 7The issuance was made under Danaher's existing shelf registration statement, indicating an established framework for capital raising.