NEW YORK (GenomeWeb News) – Thermo Fisher Scientific today said that it has entered into a subscription agreement to raise $500 million in gross proceeds to help fund its purchase of Life Technologies.
Under the terms of the agreement, which Thermo Fisher disclosed in a document filed with the US Securities and Exchange Commission, the company will issue in a private placement up to approximately 5.3 million shares of its common stock to Temasek at $95 per share. The share price will be adjusted depending on when the investment closes.
Temasek is a government-owned investment firm based in Singapore.
Thermo Fisher said it does not expect to sell any more equity or equity-linked securities to fund the $13.6 billion acquisition of Life Tech, expected to be completed in early 2014. It previously raised $2.2 billion in a public offering of its shares and entered into a bridge credit agreement and term loan agreement totaling $12.5 billion in order to finance the deal.
In Friday morning trade on the New York Stock Exchange, shares of Thermo Fisher were up 1 percent at $101.18.