Kimberly-Clark Corporation recently announced that Halyard Health, Inc., its wholly owned subsidiary, is beginning the process of raising external financing in preparation for the spin-off of Halyard Health at the end of October 2014.
The external financing is expected to consist of a senior secured term loan B of approximately $390 million and approximately $250 million of senior unsecured notes. As part of the external financing, Halyard Health also expects to enter into a $250 million senior secured revolving credit facility with various commercial and investment banks, which is expected to remain undrawn at the time of the spin-off.
With brands such as Kleenex, Scott, Huggies, Pull-Ups, Kotex and Depend, Kimberly-Clark holds the No. 1 or No. 2 share position in the hygiene tissue segment in more than 80 countries.
