...March 28, 2022 - Dublin-based consumer self-care company Perrigo Co. PLC has launched $2.1 billion of senior secured credit facilities (including $1.1 billion funded term loans) to refinance about $1 billion of debt. The net incremental funded proceeds--in conjunction with cash and up to $500 million of other future unsecured debt--will fund the approximately $2 billion acquisition of Hera S.A.S (HRA). - Pro forma adjusted leverage of about 5.5x is higher than our prior expectation, however we believe Perrigo will strengthen credit ratios as demand increases and the company improves operational execution--historically a core credit strength that weakened in 2021 amid tough macroeconomic conditions. - We affirmed our '##' issuer credit rating on Perrigo and assigned our '###-' issue-level rating to the proposed bank facility, which consists of a $1 billion, five-year revolver (undrawn at close); $300 million, five-year term loan A; and $800 million, seven-year term loan B. The recovery rating...
