Medtronic plc upsized the previously announced cash tender offers by Medtronic, Inc., and Covidian International Finance.
Five things to know:
1. The company upsized its offers for up to $19 billion combined aggregate purchase price for the notes subject to the Maximum Tender Offers as of Feb. 20,. As a result, the offerors increased the aggregate maximum purchase price from $1.9 billion to $3.7 billion.
2. The terms of the tender offers are unchanged from the original description in the offer to purchase. Offerors can reserve the right to further increase or waive the aggregate maximum purchase price or the series tender capital.
3. One day after upsizing the cash tender offers, Medtronic's Medtronic Global Holdings priced an offering of around $7.93 billion of senior notes and plans to use the net proceeds to fund the previously announced tender offers for several series of outstanding notes.
4. The company will also use the funds from the senior notes to pay accrued and unpaid interest, premium fees and expenses associated with the tender offers.
5. The offering is expected to close March 7, and the joint book-running managers are Barclays Bank PLC and Merrill Lynch International.