Chilean Scoops up Local Funds

Chile’s CFR Pharmaceuticals has sold UF1m ($45m) in 5-year bonds in the domestic market, according to people following the transaction. The pharmaceutical company priced at 99.12 with a 3.50% coupon to yield 3.70%, or government bonds plus 164bp. CFR is in need of debt funds for general corporate purposes, with 75% heard to be destined for working capital and about 25% for organic growth. IMTrust and Santander managed the transaction, rated A+/A on a domestic scale. CFR is separately pursuing $750m in equity capital to finance the $1.3bn purchase of South African drugmaker Adcock Ingram. The deal awaits the approval of Adcock shareholders, with the South African’s board in favor of the offer and largest shareholder opposed.