JERUSALEM (Reuters) - Teva Pharmaceutical Industries said on Tuesday it planned to raise $5 billion of debt securities as it pushes ahead with a global overhaul aimed at cutting costs and managing its massive debt burden.
“The net proceeds from the sale of securities ... will be used for general corporate purposes, which may include additions to working capital, investments in or extensions of credit to our subsidiaries and the repayment of indebtedness,” Teva said in a filing with the U.S. Securities and Exchange Commission.
Israel-based Teva, the world’s biggest generic drugmaker, announced in late 2017 a restructuring that would combine its generic and specialty medicine businesses, cut more than a quarter of its workforce and close many of its factories.
The plan set a target to reduce costs by $3 billion by the end of 2019, from about $16.1 billion in 2017.
“We may sell these securities to or through one or more underwriters, dealers or agents, or directly to purchasers, on a continuous or delayed basis,” the company said.
Reporting by Ari Rabinovitch,l Editing by Tova Cohen