Elan makes debt restructuring move

Elan Corp has today announced a cash tender offer for the existing senior fixed-rate notes of $850 million that is due in 2011…

Elan Corp has today announced a cash tender offer for the existing senior fixed-rate notes of $850 million that is due in 2011.

In a statement, the company said its subsidiaries Elan Finance public limited company and Elan Finance Corp are commencing the cash tender offer.

The biotechnology company is to fund the move with cash and through new senior fixed-rate notes, due 2016.

According to Davy, Elan had indicated it would use the cash infusion from its deal with Johnson & Johnson to restructure debt, so the move comes as no surprise.