$TEVA · TEVA PHARMACEUTICAL INDUSTRIES LTD

Teva priced approximately $4.9 billion equivalent in senior notes across five tranches via its Dutch finance subsidiaries: €1.5 billion in EUR-denominated notes (4.250% due 2033, 4.625% due 2036) and $3.2 billion in USD-denominated notes (5.250% due 2032, 5.500% due 2034, 5.750% due 2037). Net proceeds, together with cash on hand, will fund conditional redemptions of higher-coupon outstanding notes — specifically the 6.750% due 2028, 7.875% and 7.375% due 2029, up to $450M of 4.750% due 2027, and the 8.125% due 2031. Settlement is expected September 16, 2026.

TEVA shares rose 2.05% to $37.09 in the regular session and added another 0.95% after hours following the filing, suggesting the market views the liability-management trade as credit-positive — swapping near-term high-coupon debt (6.75%–8.125%) for longer-dated paper at 4.25%–5.75%.

A ~$4.9B liability-management trade that replaces near-term high-coupon debt with longer-dated, lower-rate paper, reducing Teva's interest burden and extending its maturity profile.

Teva is using the current rate environment to term out near-maturity, high-coupon debt — a classic pharma balance-sheet optimization play. The 4.25%–5.75% coupons on the new notes compare favorably to the 6.75%–8.125% paper being redeemed.

The conditional redemptions are contingent on the Issuers receiving sufficient funding at settlement; failure to close the offering would leave the high-coupon notes outstanding. Teva also flags its significant indebtedness as a risk that may limit future transactions or investments.