Covance Announces $250M Long-Term Private Placement Debt Financing
Covance (NYSE: CVD) announced today that it has entered into a note purchase agreement for the private placement of senior notes totaling $250 million with a group of institutional investors.
"This private placement of debt allows Covance to secure long-term financing at historically low rates and provides flexibility to execute our growth strategy over the long-term," said Alison Cornell, Corporate Vice President and Chief Financial Officer.
The notes are expected to be issued in November 2013 in the following four series:
$15 million bearing interest at 3.25% and maturing on November 15, 2018; $50 million bearing interest at 3.90% and maturing on November 15, 2020; $90 million bearing interest at 4.50% and maturing on November 15, 2023; and $95 million bearing interest at 4.65% and maturing on November 15, 2025. Covance, with headquarters in Princeton, New Jersey, is one of the world's largest and most comprehensive drug development services companies with annual revenues greater than $2.2 billion, global operations in more than 30 countries, and more than 12,000 employees worldwide. Information on Covance's products and services, recent press releases, and SEC filings can be obtained through its website at www.covance.com.
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