Medtronic announced a cash tender offer on March 31 for up to $2.75 billion in aggregate purchase price for outstanding debt issued by Medtronic, Inc. and Covidien International Finance S.A., two of the company’s wholly-owned subsidiaries.
The tender offer is for Covidien’s 6.55 percent senior notes due in 2037 and 2.95 percent senior notes due in 2023 as well as Medtronic’s 4 percent senior notes due in 2043; 2.75 percent notes due in 2023; 4.45 percent senior notes due in 2020; 4.375 percent senior notes due in 2035; and 2.5 percent senior notes due in 2020.
Medtronic said in a news release that the tender offer would expire at 11:59 p.m. Eastern Time on April 27 unless extended or terminated by Medtronic, Inc. and Covidien International Finance S.A. The company said the tender offer would reduce its debt load and would be consistent with the capital allocation plans it announced on Jan. 11. Back then, Medtronic announced it would return $5 billion to shareholders through share repurchases by the end of fiscal year 2018.
Executive Editor
Tim Casey joined TriMed Media Group in 2015 as Executive Editor. For the previous four years, he worked as an editor and writer for HMP Communications, primarily focused on covering managed care issues and reporting from medical and health care conferences. He was also a staff reporter at the Sacramento Bee for more than four years covering professional, college and high school sports. He earned his undergraduate degree in psychology from the University of Notre Dame and his MBA degree from Georgetown University.