Thermo Fisher prices $2.5 billion notes offering across four maturities

WALTHAM, Mass. - Thermo Fisher Scientific Inc. (NYSE:TMO), a life sciences giant with a market capitalization of $183 billion and annual revenue exceeding $43 billion, has priced a $2.5 billion notes offering across four different maturities, the company announced Wednesday. According to InvestingPro data, the company maintains a GOOD financial health score, supporting its debt-raising capability.

The offering includes $500 million of 4.200% senior notes due 2031 at an issue price of 99.874% of principal amount, $750 million of 4.473% senior notes due 2032 at 100.000% of principal amount, $750 million of 4.794% senior notes due 2035 at 100.000% of principal amount, and $500 million of 4.894% senior notes due 2037 at 100.000% of principal amount. The company’s strong current ratio of 1.93 and established dividend history, having maintained payments for 14 consecutive years, reflect its solid financial position.

The transaction is expected to close on or about October 7, 2025, subject to customary closing conditions. The notes will pay interest on a semi-annual basis.

According to the press release, Thermo Fisher plans to use the net proceeds for general corporate purposes, which may include acquisitions, debt repayment and refinancing, working capital, capital expenditures, or repurchasing outstanding equity securities. The company may also temporarily invest the proceeds in short-term, liquid investments.

J.P. Morgan Securities LLC, ING Financial Markets LLC, Mizuho Securities USA LLC, and Scotia Capital (USA) Inc. are serving as joint book-running managers for the offering.

The offering is being made through an effective registration statement filed with the U.S. Securities and Exchange Commission.

Thermo Fisher Scientific, which describes itself as the world leader in serving science, reported annual revenue of over $40 billion. The company provides technologies, purchasing convenience and pharmaceutical services through brands including Thermo Scientific, Applied Biosystems, Invitrogen, Fisher Scientific, Unity Lab Services, Patheon and PPD. For detailed analysis and additional insights, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers this prominent player in the Life Sciences Tools & Services industry.

In other recent news, Thermo Fisher Scientific has been the focus of several analyst updates following its latest financial performance. Stifel has adjusted its price target for Thermo Fisher to $583 from $620, maintaining a Buy rating, citing strong second-quarter results and growth in its pharmaceutical segment. Meanwhile, Bernstein has raised its price target to $570 from $560, continuing to rate the company as Outperform, driven by robust performance in pharmaceutical R&D consumables. On the other hand, HSBC downgraded Thermo Fisher from Buy to Hold, lowering the price target to $510 due to concerns about medium-term growth prospects and the need for more evidence of structural growth beyond 7% after 2027.

Additionally, Bernstein reiterated its Outperform rating with a $570 price target after discussions with Thermo Fisher’s Head of Investor Relations. William Blair also initiated coverage with an Outperform rating, emphasizing Thermo Fisher’s strategic position in the biopharmaceutical industry. These developments reflect a mix of optimism and caution among analysts regarding the company’s future growth trajectory.

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