CFR Eyes Local Funds

Chile’s CFR Pharmaceuticals is scheduled to price today a domestic bond transaction of UF1m ($45m), according to a prospectus. The pharmaceutical specialist is able choose between a 5-year bullet tranche with a 3.5% coupon and a 21-year tranche with a 10-year grace period and 4.0% coupon, according to people following the sale. Proceeds will be used for general corporate purposes, with 75% heard to be destined for working capital and about 25% for organic growth. IMTrust and Santander are managing the transaction, rated A+/A on a domestic scale. CFR is separately pursuing a $750m equity capital raise, to finance the $1.3bn purchase of South African drugmaker Adcock Ingram. The deal awaits the approval of Adcock shareholders. South African asset manager Public Investment, which is the largest Adcock shareholder at 18%, said Wednesday it does not plan to vote for the sale, according to Chilean news and wire reports.