(Reuters) - Australian horse-race gambling house Tabcorp Holdings on Friday priced a $1.4 billion (£0.9 billion) issue of long-term notes to investors in the U.S. private placement market.
The notes will comprise four U.S.-dollar-denominated tranches, totalling $1.25 billion and two Australian-dollar-denominated tranches, totalling A$195 million ($150.13 million).
The proceeds will be used to repay a A$1.8 billion bridge financing facility in connection with the merger with Tatts Group and to repay existing bank debt, the company added in a statement.
The notes are scheduled to be issued in June.
“The successful debt raising is a positive endorsement of Tabcorp by investors in the U.S. private placement market and has extended Tabcorp’s debt maturity profile,” CFO Damien Johnston said.
Tabcorp closed its $4.7 billion acquisition of lottery operator Tatts Group in December.
Reporting by Nicole Pinto in Bengaluru; Editing by James Dalgleish