Pfizer Plans To Raise $31 Bn To Fund Seagen Acquisition

Pfizer Inc said on Tuesday it plans to raise USD 31 billion from a debt offering to finance its proposed acquisition of Seagen Inc. Pfizer struck a USD43 billion deal in March to acquire Seagen and its targeted cancer therapies as it prepares for a steep fall in COVID-19 sales and generic competition for some top-selling drugs.

The company has been pumping billions of dollars into research and acquisitions to mitigate an anticipated USD 17 billion hit to revenue by 2030 from patent expirations for top drugs, and a decline in demand for COVID products.

The debt offering, which would be in eight tranches, is expected to close on May 19, the company said, adding that BofA Securities, Citigroup, Goldman Sachs and JP Morgan are acting as the joint lead managers and joint book-running managers.

(Reuters)