Sullivan & Cromwell is advising Osaka-based drug manufacturer Takeda Pharmaceutical Co. on a $3 billion debt offering on the Singapore Exchange. It is the largest-ever issue of U.S. dollar-denominated bonds by a Japanese company.
The offering consists of two tranches of equal value – $1.5 billion in one-percent senior notes due in 2015 and $1.5 billion in 1.6-percent senior notes due 2017. The proceeds from the offering will be used to repay loans the company took on last year to finance its $13.7 billion acquisition of Swiss competitor Nycomed Pharma GmbH.
Sullivan & Cromwell Tokyo partner Izumi Akai is leading the firm’s work for Takeda on the offering.
Simpson Thacher & Bartlett is advising the underwriters — Bank of America Corp., Citigroup Inc., JPMorgan Chase & Co., Morgan Stanley and Nomura Holdings Inc. The firm’s team on the deal is being led by Tokyo partners David Sneider and Alan Cannon.
Takeda has been at the forefront of a boom in outbound Japanese investment, driven in large part by the strong yen. In April, Takeda announced its $800 million acquisition of Philadelphia-based specialty pharmaceutical manufacturer URL Pharma, Inc. Sidley Austin advised Takeda in that acquisition and Ropes & Gray acted for URL.