Alcon Prices US$1.3 Billion Senior Notes Offering

Rhea-AI Summary

Alcon Inc. ('ALC') has launched a private offering of US$700 million in 5.375% senior notes due 2032 and US$600 million in 5.750% senior notes due 2052. The offering is set to close on December 6, 2022. Proceeds will be directed towards general corporate purposes, including repaying outstanding debts related to its acquisition of Aerie Pharmaceuticals, Inc. The notes will be issued by Alcon Finance Corporation and guaranteed by Alcon.

Positive

• Initiating a private offering of $1.3 billion in senior notes can strengthen liquidity.
• Proceeds are aimed at reducing debt, particularly related to the Aerie Pharmaceuticals acquisition.

Negative

• None.

GENEVA--(BUSINESS WIRE)-- Alcon Inc. ("Alcon") (SIX/NYSE: ALC) announced that it has commenced and priced a private offering of US$700 million aggregate principal amount of its 5.375% senior notes due 2032 and US$600 million aggregate principal amount of its 5.750% senior notes due 2052 (together, the “Notes”). The Notes will be issued by Alcon Finance Corporation, Alcon’s indirect subsidiary, and will be fully and unconditionally guaranteed on a senior basis by Alcon.

The offering is expected to close on December 6, 2022, subject to customary closing conditions.

Alcon intends to use the proceeds from the offering for general corporate purposes, including the repayment of all outstanding indebtedness under the bridge facility entered into in connection with its acquisition of Aerie Pharmaceuticals, Inc., and to repay all or part of the outstanding indebtedness under its term loan facility.

Disclaimer

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: “anticipate,” “intend,” “commitment,” “look forward,” “maintain,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on Alcon’s current beliefs, expectations and assumptions regarding the future of Alcon’s business, future plans and strategies, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties and risks that are difficult to predict. Some of these factors are discussed in Alcon’s filings with the United States Securities and Exchange Commission, including Alcon’s Annual Report on Form 20-F. Should one or more of these uncertainties or risks materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated. Therefore, you should not rely on any of these forward-looking statements.

Alcon assumes no obligation to update forward-looking statements as a result of new information, future events or otherwise.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities, nor shall there be any sales of securities mentioned in this press release in any jurisdiction in which such offer, solicitation or sale would be unlawful. Any offers of the Notes will be made only by means of a private offering memorandum to qualified institutional buyers under Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”) and to non-U.S. persons outside of the United States under Regulation S under the Securities Act.

The Notes have not been registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

About Alcon

Alcon helps people see brilliantly. As the global leader in eye care with a heritage spanning over 75 years, we offer the broadest portfolio of products to enhance sight and improve people’s lives. Our Surgical and Vision Care products touch the lives of more than 260 million people in over 140 countries each year living with conditions like cataracts, glaucoma, retinal diseases and refractive errors. Our more than 24,000 associates are enhancing the quality of life through innovative products, partnerships with Eye Care Professionals and programs that advance access to quality eye care.

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Investor Relations

Dan Cravens and Allen Trang

+ 41 589 112 110 (Geneva)

+ 1 817 615 2789 (Fort Worth)

investor.relations@alcon.com

Media Relations

Steven Smith

+ 41 589 112 111 (Geneva)

+ 1 817 551 8057 (Fort Worth)

globalmedia.relations@alcon.com

Source: Alcon Inc. Investors

FAQ

What is Alcon's recent private offering amount?

Alcon has launched a private offering totaling US$1.3 billion.

What will the proceeds from Alcon's offering be used for?

The proceeds will be used for general corporate purposes, including debt repayment.

When is the closing date for Alcon's private offering?

The offering is expected to close on December 6, 2022.

What are the interest rates on Alcon's senior notes?

Alcon's senior notes will have interest rates of 5.375% due 2032 and 5.750% due 2052.