Bulletin: Teleflex Inc. Has Capacity To Absorb Biotronik Acquisition; Separation Plan Expected To Be Leverage Neutral

This report does not constitute a rating action. BOSTON (S&P Global Ratings) March 10, 2025--S&P Global Ratings today said that its ratings and outlook on Teleflex Inc. (BB+/Stable/--) are unchanged following the company's announcement that it will acquire Biotronik?s vascular intervention business for €760 million, less certain adjustments as provided in the purchase agreement including certain working capital not transferring and other customary adjustments and separate into two publicly traded companies. Teleflex will fund the acquisition through a recently obtained $500 million delayed-draw term loan (not rated) and borrowings under its revolving credit facility. The additional debt will also fund a $300 million accelerated share buyback. The acquisition is set to close by the end of the third quarter of

...March 10, 2025 This report does not constitute a rating action. BOSTON (S&P Global Ratings) March 10, 2025--S&P Global Ratings today said that its ratings and outlook on Teleflex Inc. (##+/Stable/--) are unchanged following the company's announcement that it will acquire Biotronik's vascular intervention business for 760 million, less certain adjustments as provided in the purchase agreement including certain working capital not transferring and other customary adjustments and separate into two publicly traded companies. Teleflex will fund the acquisition through a recently obtained $500 million delayed- draw term loan (not rated) and borrowings under its revolving credit facility. The additional debt will also fund a $300 million accelerated share buyback. The acquisition is set to close by the end of the third quarter of 2025, with the spin-off completion targeted for mid-2026. Although we expect the acquisition will increase its S&P Global Ratings-adjusted leverage to 3x in 2025 from...

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