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Teva Announces Launch of $2 Billion (Equivalent) Offering of Sustainability-Linked Senior Notes

Teva Announces Launch of $2 Billion (Equivalent) Offering of Sustainability-Linked Senior Notes

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Company will Increase Access to Medicines in Middle and Low Income Countries

Enhanced Commitment to the Environment

Teva Pharmaceutical Industries Ltd. announced its intention to issue $2,060,000,000 (equivalent) of sustainability-linked senior notes. The notes offering reflects Teva’s continued strong commitment to sustainable finance to help address some of the greatest challenges of our time. The sustainability-linked senior notes are to be issued under Teva’s sustainability-linked financing framework established in October 2021, as updated in July 2022, which sets forth strategies and targets in accordance with the Sustainability-Linked Bonds Principles administered by the International Capital Markets Association.

This sustainability-linked financing framework was validated by two Second Party Opinions (SPO), which were provided by ISS ESG and the Access to Medicines Foundation.

See related article: Teva Publishes 2021 ESG Progress Report, Showcasing Further Integration of ESG Into Business, Robust Targets and Strengthened ESG Governance Structure

Teva Pharmaceutical Finance Netherlands II B.V. intends to offer EUR-denominated Sustainability-Linked Senior Notes and Teva Pharmaceutical Finance Netherlands III B.V. intends to offer USD-denominated Sustainability-Linked Senior Notes.

The offering is subject to, among other things, market conditions. Teva expects to use the net proceeds from the offerings, together with cash on hand, (i) to fund the announced tender offers to purchase, for cash, its 7.125% Senior Notes due 2025, 6.000% Senior Notes due 2025, 4.500% Senior Notes due 2025, 2.800% Senior Notes due 2023, 6.000% Senior Notes due 2024 and 3.150% Senior Notes due 2026 for a maximum combined aggregate purchase price (exclusive of accrued and unpaid interest) of up to $2,250,000,000, (ii) to pay fees and expenses in connection therewith and (iii) to the extent of any remaining proceeds, the repayment of outstanding debt upon maturity, tender offer or earlier redemption. Net proceeds may be temporarily invested pending application for their stated purpose.

The Notes will be unsecured senior obligations of the Issuers and will be unconditionally guaranteed on a senior basis by Teva.

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