Summary
Danaher Corporation (DHR) announced on December 10, 2021, the issuance of $1 billion in aggregate principal amount of 2.800% Senior Notes due 2051. The offering was conducted under a previously filed Form S-3 registration statement. Danaher received net proceeds of approximately $984 million after deducting underwriting discounts and expenses. These proceeds are intended for general corporate purposes, including the redemption of outstanding 2.500% Senior Notes due 2025 issued by DH Europe Finance S.À R.L., refinancing other debt, working capital, and capital expenditures. The new Notes mature on December 10, 2051, and will bear interest at a rate of 2.800% per annum, payable semi-annually. The indenture governing the Notes includes provisions for redemption at Danaher's option, with a "make-whole" premium before a specified date and at par thereafter. It also includes a provision requiring Danaher to repurchase the Notes at 101% of the principal amount plus accrued interest if a change of control triggering event occurs. The Notes are unsecured and rank equally with other unsecured and unsubordinated indebtedness.
Key Highlights
- 1Danaher issued $1 billion in 2.800% Senior Notes due 2051.
- 2Net proceeds from the offering are approximately $984 million.
- 3Funds will be used for general corporate purposes, including redeeming €800 million of 2.500% Senior Notes due 2025, debt refinancing, working capital, and capital expenditures.
- 4The Notes mature on December 10, 2051.
- 5Interest rate on the new notes is 2.800% per annum, paid semi-annually.
- 6The notes can be redeemed by Danaher at its option, with a make-whole premium or at par.
- 7A change of control triggering event allows noteholders to require repurchase at 101% of principal.