Thermo Fisher Scientific Prices Offering of USD-Denominated Senior Notes

Rhea-AI Summary

Thermo Fisher Scientific has priced an offering of $3.1 billion in senior notes to finance the pending acquisition of PPD, Inc. The offering includes:

• $700 million of 1.750% senior notes due 2028
• $1.2 billion of 2.000% senior notes due 2031
• $1.2 billion of 2.800% senior notes due 2041

The offering is expected to close on August 23, 2021. The notes will pay interest semi-annually.

Positive

• Successful pricing of $3.1 billion in senior notes.
• Intended use of proceeds for the acquisition of PPD, potentially expanding Thermo Fisher's business.

Negative

• Dependence on capital market conditions for the closing of the offering.

WALTHAM, Mass., Aug. 9, 2021 /PRNewswire/ -- Thermo Fisher Scientific Inc. (NYSE: TMO) ("Thermo Fisher") announced today that it has priced an offering of $3.1 billion aggregate principal amount (the "Offering") of the following notes:

• $700 million aggregate principal amount of its 1.750% senior notes due 2028, at the issue price of 99.952% of their principal amount,
• $1.2 billion aggregate principal amount of its 2.000% senior notes due 2031, at the issue price of 98.827% of their principal amount, and
• $1.2 billion aggregate principal amount of its 2.800% senior notes due 2041, at the issue price of 99.508% of their principal amount.

The Offering is expected to close on or about August 23, 2021, subject to customary closing conditions. The notes will pay interest on a semi-annual basis.

Thermo Fisher intends to use the net proceeds of the Offering to pay a portion of the cash consideration payable for the pending acquisition of PPD, Inc., a Delaware corporation.

The joint book-running managers for the Offering are Barclays Capital Inc., Morgan Stanley & Co. LLC, BofA Securities, Inc. and Citigroup Global Markets Inc.

The Offering is being made pursuant to an effective registration statement on Form S-3 filed with the U.S. Securities and Exchange Commission (the "SEC"). Prospective investors should read the prospectus forming a part of that registration statement and the prospectus supplement related to the Offering and the other documents that Thermo Fisher has filed with the SEC for more complete information about Thermo Fisher and this Offering. These documents are available at no charge by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, Thermo Fisher, the underwriters or any dealer participating in this offering will arrange to send you the prospectus if you request it by calling Barclays Capital Inc. toll-free at 1-888-603-5847; Morgan Stanley & Co. LLC toll-free at 1-866-718-1649; BofA Securities, Inc. toll-free at 1-800-294-1322;or Citigroup Global Markets Inc. toll-free at 1-800-831-9146.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the notes, nor shall there be any offer, solicitation or sale of the notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements about Thermo Fisher's intended use of proceeds and the anticipated timing of the closing of the proposed PPD acquisition.  These statements involve a number of risks and uncertainties that could cause actual results to differ materially from currently anticipated results, including risks and uncertainties relating to capital markets conditions and completion of the Offering. Additional important factors and information regarding Thermo Fisher's business that could cause actual results to differ materially from those indicated by such forward-looking statements are set forth in the prospectus and prospectus supplement dated August 9, 2021 related to the Offering, which is on file with the SEC and available in the "Investors" section of our website under the heading "SEC Filings," and the documents incorporated by reference into the prospectus and prospectus supplement. While we may elect to update forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if circumstances change and, therefore, you should not rely on these forward-looking statements as representing our views as of any date subsequent to today.

Media Contact Information:
Sandy Pound 
Phone: 781-622-1223
E-mail: sandy.pound@thermofisher.com

Investor Contact Information:
Rafael Tejada 
Phone: 781-622-1356
E-mail: rafael.tejada@thermofisher.com

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SOURCE Thermo Fisher Scientific

FAQ

What is the purpose of Thermo Fisher's $3.1 billion senior notes offering?

The proceeds will be used for the acquisition of PPD, Inc.

When is the expected closing date for Thermo Fisher's offering?

The offering is expected to close on August 23, 2021.

What are the details of the senior notes offered by Thermo Fisher?

The offering includes $700 million due 2028, $1.2 billion due 2031, and $1.2 billion due 2041.

What is the interest payment schedule for Thermo Fisher's senior notes?

The notes will pay interest semi-annually.

Who are the joint book-running managers for the Thermo Fisher offering?

The managers include Barclays Capital, Morgan Stanley, BofA Securities, and Citigroup.