Slaughter and May advised Lonza on the financing of its USD 5.5 billion acquisition from KKR of Capsugel

Slaughter and May advised Lonza, one of the world's leading suppliers to the pharmaceutical, healthcare and life science industries, on the financing of its USD 5.5 billion acquisition from KKR of Capsugel, a global drug capsule manufacturing company. 

The all-cash acquisition, which was announced on 15 December 2016, will be financed with a combination of debt and equity financing.  Lonza has committed debt financing for the full acquisition amount from BofA Merrill Lynch and UBS and has announced plans to raise equity, which is fully underwritten by UBS and BofA Merrill Lynch for an amount of up to CHF 3.3 billion. 

The acquisition will allow Lonza to strengthen its position as leading supplier to a number of important healthcare markets.

Slaughter and May worked closely with the in-house legal and group treasury teams at Lonza as well as Jenner & Block LLP, who advised on matters of US law.