LAVAL, Quebec, March 10, 2017 /PRNewswire/ -- Valeant
Pharmaceuticals International, Inc. (NYSE: VRX) (TSX: VRX)
("Valeant" or the "Company") announced today that it has priced its
previously announced offering of $1.25
billion aggregate principal amount of 6.50% senior secured
notes due 2022 (the "2022 Notes") and $2
billion aggregate principal amount of 7.00% senior secured
notes due 2024 (the "2024 Notes" and, together with the 2022 Notes,
the "Notes"). The aggregate size of the offering reflects an
increase of $750 million from the
previously announced offering size. The offering is expected to
close on or about March 21, 2017. The
offering of Notes is being conducted in connection with the
Company's previously announced refinancing and amendment of its
existing credit agreement (the "Refinancing"). The net proceeds of
the offering together with the proceeds from a new term loan in
connection with the Refinancing are expected to be used to repay
certain loans outstanding under the Company's credit facilities and
to repurchase $1.1 billion principal
amount of the Company's outstanding 6.75% Senior Notes due 2018
(the "2018 Notes"), including through the previously announced
tender offer for the Company's 2018 Notes (the "Tender Offer"). The
Company anticipates that it will pay down $350 million of revolving credit facility
borrowings under the Company's credit facilities with proceeds of
this offering and cash on hand.
The Notes will initially be guaranteed by each of the Company's
subsidiaries that is a guarantor of the Company's senior secured
credit facilities and the Company's existing senior unsecured notes
and will be secured on a first priority basis by liens on the
assets that secure the Company's senior secured credit facilities.
Consummation of the offering of the Notes, the Refinancing and the
Tender Offer are subject to various closing conditions, and there
can be no assurance that the Company will be able to successfully
complete these refinancing transactions on the terms described
above, or at all.
The Notes will not be registered under the Securities Act of
1933, as amended (the "Securities Act"), or any state securities
law and may not be offered or sold in the
United States absent registration or an applicable exemption
from registration under the Securities Act and applicable state
securities laws. The Notes will be offered in the United States only to qualified
institutional buyers pursuant to Rule 144A under the Securities Act
and outside the United States to
non-U.S. persons pursuant to Regulation S under the Securities Act.
The Notes have not been and will not be qualified for sale to the
public by prospectus under applicable Canadian securities laws and,
accordingly, any offer and sale of the securities in Canada will be made on a basis which is exempt
from the prospectus requirements of such securities laws.
This press release is being issued pursuant to Rule 135C under
the Securities Act and shall not constitute an offer to sell or the
solicitation of an offer to sell or the solicitation of an offer to
buy any securities, nor shall there be any sale of securities in
any jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
About Valeant
Valeant Pharmaceuticals International, Inc. (NYSE/TSX:
VRX) is a multinational specialty pharmaceutical company that
develops, manufactures and markets a broad range of pharmaceutical
products primarily in the areas of dermatology, gastrointestinal
disorders, eye health, neurology and branded generics. More
information about Valeant can be found at
www.valeant.com.
Caution Regarding Forward-Looking Information and "Safe
Harbor" Statement
This press release may contain forward-looking statements,
including, but not limited to, our financing plans, including the
offering of Notes and the details thereof, the Refinancing and the
details thereof, including the proposed use of proceeds therefrom,
and the Tender Offer and the details thereof, and other expected
effects of the offering of Notes, the Refinancing and the Tender
Offer. Forward-looking statements may generally be identified by
the use of the words "anticipates," "expects," "intends," "plans,"
"should," "could," "would," "may," "will," "believes," "estimates,"
"potential," "target," or "continue" and variations or similar
expressions. These statements are based upon the current
expectations and beliefs of management and are subject to certain
risks and uncertainties that could cause actual results to differ
materially from those described in the forward-looking statements.
These risks and uncertainties include, but are not limited to,
risks and uncertainties discussed in our most recent annual and
quarterly reports and detailed from time to time in our other
filings with the Securities and Exchange Commission and the
Canadian Securities Administrators, which risks and uncertainties
are incorporated herein by reference. Readers are cautioned not to
place undue reliance on any of these forward-looking statements.
These forward-looking statements speak only as of the date hereof.
We undertake no obligation to update any of these forward-looking
statements to reflect events or circumstances after the date of
this press release or to reflect actual outcomes, except as
required by law.
Contact Information:
Elif
McDonald
elif.mcdonald@valeant.com
514-856-3855
877-281-6642 (toll free)
Media:
Renée Soto
or
Chris Kittredge/Jared Levy
Sard Verbinnen & Co.
212-687-8080
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SOURCE Valeant Pharmaceuticals International, Inc.