Apollo's Covis Pharma Keeps Sweetening Its Junk-Debt Offering
- Company has shifted the remaining junk-bond portion into loan
- Debt sale has been struggling to attract demand for some time
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A group of banks struggling to sell $1.2 billion of debt for a pharmaceutical company owned by Apollo Global Management Inc. is again sweetening the pot in order to lure more investors a month after the deal first began marketing.
The company, Covis Pharmaceuticals Inc., shifted a $350 million-equivalent chunk of the debt from the European junk-bond market into a first-lien loan, according to a person with knowledge of the deal. It also slapped a steep discounted price of 93 cents on the loan.