Endo, Inc. Announces Pricing of $1.0 billion of Senior Secured Notes

Offering Part of Endo's $2.5 billion Exit Financing

MALVERN, Pa., April 12, 2024 /PRNewswire/ -- Endo, Inc. ("Endo"), a newly formed entity, today announced that its wholly-owned subsidiary Endo Finance Holdings, Inc. (the "Issuer") priced $1,000.0 million aggregate principal amount of its 8.500% senior secured notes due 2031 (the "Notes"). To optimize the exit financing transactions, the Issuer has (i) decreased the offering size of the Notes from $1,250.0 million aggregate principal amount to $1,000.0 million aggregate principal amount and (ii) increased the expected size of the new senior secured term loan from $1,250.0 million aggregate principal amount to $1,500.0 million aggregate principal amount. The Notes will have an interest rate of 8.500% per annum and are being issued at par. The Notes will be senior secured obligations of the Issuer and will be guaranteed on a senior secured basis by Endo and, upon emergence, certain of Endo's subsidiaries. The offering of the Notes is expected to close on April 23, 2024, subject to customary closing conditions. 

With the proceeds of this offering, Endo International plc ("EIP") and its affiliated debtors will have obtained a portion of the financing required under the Fourth Amended Joint Chapter 11 Plan of Reorganization of EIP and its affiliated debtors (the "Plan"). Endo currently expects the Plan to be effective on or around April 23, 2024. Endo's initial capital structure is expected to consist of a $400.0 million senior secured five-year super-priority revolving credit facility (undrawn at emergence), a $1,500.0 million senior secured seven-year term loan and the $1,000.0 million aggregate principal amount of the Notes.

Endo intends to use a portion of the net proceeds of this offering, together with the proceeds from Endo's new senior secured term loan, the proceeds of the rights offerings under the Plan and cash on hand, to acquire substantially all of the assets of EIP and certain of its affiliates. EIP will use the sale proceeds to: (i) make settlement payments under the Plan, (ii) make cash distributions to first lien claimholders under the Plan, and (iii) pay certain professional fees. A portion of the proceeds will also be used by Endo for general corporate purposes.