Viatris amends and restates yen term loan facility with Mizuho as agent
Viatris entered a new agreement for a ¥40 billion senior unsecured term loan, with proceeds set to repay its 2021 facility of the same size.
Viatris Inc. entered into an amended and restated term loan credit agreement on July 1, 2026, among Viatris, guarantors from time to time party thereto, lenders from time to time party thereto, and Mizuho Bank, Ltd., as administrative agent.1 The agreement provides for a ¥40,000,000,000 principal amount senior unsecured term loan facility.1
Proceeds from the facility are designated for general lawful corporate purposes of Viatris and its subsidiaries, including repayment of outstanding obligations under Viatris' prior ¥40,000,000,000 unsecured term loan facility, dated July 1, 2021, with the same administrative agent.1 The 8-K does not state why the prior facility was being replaced or whether it was approaching maturity.
As of closing, the facility will be guaranteed by Mylan Inc., Utah Acquisition Sub Inc. and Mylan II B.V., along with other subsidiaries that guarantee third-party indebtedness above $500,000,000, subject to certain exclusions.1
On pricing, the loan will initially bear interest at the TIBO Rate plus 1.10% per annum, with the applicable margin able to fluctuate based on Viatris' long-term unsecured senior debt ratings from S&P, Moody's and Fitch.1
The agreement includes a financial covenant requiring a leverage ratio no greater than 3.75 to 1.00 as of the last day of each fiscal quarter ending after the closing date.1 Amounts borrowed become due and payable three years from the closing date.1 Borrowed amounts may be voluntarily prepaid without penalty or premium, aside from customary breakage costs.1
The filing also notes standard affirmative and negative covenants typical for facilities of this type, including limits on subsidiary debt, liens, mergers, investments, acquisitions, affiliate transactions, dividends and changes in lines of business,1 along with customary default provisions covering payment failures, covenant breaches, misrepresentations, cross-defaults, change-in-control events, bankruptcy and related matters.1
Written by readthrough’s AI from the linked primary sources and fact-checked against them automatically before publishing. Not investment advice.