Perrigo Co. Selling $2.3 Billion In Debt To Finance Elan Purchase

Updated at 5 p.m. with pricing of notes.

ALLEGAN (WWJ) -- The Allegan generic pharmaceutical and store-brand health products maker Perrigo Co. Ltd., which moved its corporate registration to Ireland earlier this year, said it would offer debt totaling $2.3 billion with maturities in 2016, 2018, 2023 and 2043.

Perrigo said it has priced the offering at 1.3 percent interest for $500 million in notes due 2016, 2.3 percent interest for $600 million in notes due 2018, 4 percent interest for $800 million in notes due 2023 and and 5.3 percent for $400 million in notes due 2043.

Perrigo said it would use the proceeds to finance its acquisition of the Irish health products company Elan Corp. plc, as well as to refinance debt.

Perrigo said the acquisition is scheduled to be completed by April 29, but the period could be extended to July 29. The notes will be guaranteed on a "senior unsecured" basis by the company.

Perrigo also announced an offer to purchase $600 million in notes due 2023 that currently pay interest of 2.95 percent. The offer expires at 8 a.m. Dec. 23. Perrigo is also seeking to renegotiate the restrictive covenants on the notes.

Requests for documents may be directed to the Information Agent and Tender Agent, at (212) 269-5550 (banks and brokers), (800) 290-6426 (all others) or perrigo@dfking.com.

Barclays Capital Inc. and HSBC Securities USA Inc. will manage the offer. Questions may be directed to Barclays Capital at (212) 528-7581 (collect) or (800) 438-3242 (toll free) or HSBC Securities at (212) 525-5552 (collect) or (888) HSBC 4 LM (toll free).

More at www.perrigo.com.

Perrigo is the world's largest manufacturer of over-the-counter pharmaceutical products for the store brand market. It develops, manufactures and distributes over-the-counter and generic prescription pharmaceuticals, infant formulas, nutritional products, animal health, dietary supplements and active pharmaceutical ingredients. The company is the world's largest manufacturer of OTC pharmaceutical products for the store brand market. The company's primary markets are the United States, Israel, Mexico, the United Kingdom, India, China and Australia.