Sandoz successfully issues 750 million francs in inaugural bonds

Sandoz (SIX: SDZ), the generic and biosimilar medicines business of Swiss pharma giant Novartis (NOVN: VX) that was fully spun out on October 4, announced the issuance of two highly successful inaugural CHF bonds with gross proceeds of 750 million francs ($843 million).

The company’s shares fell 4% to 24.61 Swiss francs following the announcement.

This debut transaction was driven by overwhelming investor demand and marks a solid entry for Sandoz as a borrower in debt capital markets, the company noted, with chief financial officer Colin Bond saying: "The inaugural bonds are a milestone in our financial strategy as an independent company and establish Sandoz as a new issuer in the CHF bond market."