Summary
Thermo Fisher Scientific Inc. announced on July 21, 2015, the successful issuance of €500,000,000 aggregate principal amount of 2.150% Senior Notes due 2022 through a public offering. The company is seeking to list these notes on the New York Stock Exchange, subject to approval. The proceeds from this offering are intended for general corporate purposes, providing Thermo Fisher Scientific with additional flexibility for its operations. The notes carry a coupon of 2.150% and mature on July 21, 2022, with annual interest payments commencing in July 2016. The company retains the option to redeem the notes prior to maturity under specific conditions, including a change of control event coupled with a credit rating downgrade.
Key Highlights
- 1Thermo Fisher Scientific issued €500 million in 2.150% Senior Notes due 2022.
- 2The offering was conducted as a public offering under a Form S-3 registration statement.
- 3The company intends to list the Notes on the New York Stock Exchange (NYSE).
- 4Net proceeds are estimated at approximately €496 million after expenses.
- 5Proceeds are designated for general corporate purposes.
- 6The notes are general unsecured obligations, subordinated to secured debt and structurally subordinated to subsidiaries' liabilities.
- 7Covenants restrict certain actions like incurring secured debt, sale-leaseback transactions, and asset sales/mergers.
Frequently Asked Questions
The company intends to use the net proceeds of approximately €496 million for general corporate purposes, providing flexibility for its ongoing business operations.
The Notes have an aggregate principal amount of €500,000,000, a fixed interest rate of 2.150% per annum, and mature on July 21, 2022. Interest payments are made annually.
The company can redeem the notes at its option prior to April 21, 2022, at a redemption price calculated based on present values plus a spread, or at par plus accrued interest on or after April 21, 2022. A change of control event combined with a credit rating downgrade below investment grade by two major agencies may also trigger a repurchase obligation.
The Notes are general unsecured obligations of the company. They are effectively subordinated to any secured indebtedness and structurally subordinated to the liabilities of its subsidiaries. They rank equally with other existing and future unsecured and unsubordinated indebtedness of the company.