The company plans to float $2.25 billion worth of stock at $176.50 per share and $2.25 billion of convertible shares at $50.00 per share. The offering includes over-allotment options of $225 million each for the 2 types of shares; today BD said the underwriters exercised each option in full.
“BD intends to use the proceeds from the offerings to finance a portion of the cash consideration payable in connection with BD’s previously announced acquisition of C.R. Bard and to pay related fees and expenses. The acquisition is expected to close in the fall of 2017,” the company said.
The offering is slated to close May 16, BD said.
The company is also looking to exchange approximately $500 million for 4.4% Bard notes due 2021, $500 million for 3% notes due 2026 and $149.8 million in 6.7% notes due 2026. For each of the notes in the offering, BD said it will offer $970 principal amount of equal BD notes as well as between $2.50 and $20 cash, with an early tender premium of $30 principal amount of equal BD notes.