BioMarin Plans $850M Senior Unsecured Notes Offering
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: seekingalpha
- Financing Plan: BioMarin has outlined an $850M offering of senior unsecured notes due 2034, aimed at supporting its upcoming acquisition, reflecting the company's proactive fundraising strategy in the capital markets.
- Loan Arrangements: The company also announced a new $2B senior secured term loan 'B' facility, alongside an $800M senior secured term loan 'A' facility and a $600M senior secured revolving credit facility, ensuring ample liquidity for the acquisition.
- Acquisition Deal: BioMarin has agreed to acquire rare disease drug developer Amicus Therapeutics for nearly $4.8B in an all-cash transaction, marking a strategic expansion in the rare disease sector that is expected to enhance its product portfolio and market competitiveness.
- Expense Management: The company plans to borrow up to $150M under the new revolving credit facility to cover acquisition-related fees and expenses, ensuring liquidity and smooth execution of the acquisition.
Analyst Views on BMRN
Wall Street analysts forecast BMRN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BMRN is 87.35 USD with a low forecast of 60.00 USD and a high forecast of 120.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
14 Buy
5 Hold
0 Sell
Moderate Buy
Current: 56.210
Low
60.00
Averages
87.35
High
120.00
Current: 56.210
Low
60.00
Averages
87.35
High
120.00
About BMRN
BioMarin Pharmaceutical Inc. is a global biotechnology company engaged in the development of genetic discovery into medicines that make an impact on the life of each patient. The Company has eight commercial therapies and a clinical and preclinical pipeline. Its commercial products include Vimizim (elosulfase alpha), Naglazyme (galsulfase), Palynziq (pegvaliase-pqpz), Brineura (cerliponase alfa), Aldurazyme (laronidase), Roctavian (valoctocogene roxaparvovec), Kuvan (sapropterin dihydrochloride), and Voxzogo (vosoritide). Vimizim is an enzyme replacement therapy for the treatment of MPS IVA, a lysosomal storage disorder. The Roctavian is an adeno-associated virus (AAV5) vector gene therapy designed to restore factor VIII plasma concentrations in patients with severe hemophilia A. Its key clinical programs include Vosoritide, BMN 333, BMN 390, BMN 351, BMN 349, and INZ-701. Its late-stage enzyme replacement therapy, INZ-701, is being developed for the treatment of ENPP1 deficiency.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
