AbbVie Inc. is looking to secure at least $8 billion through a new investment-grade bond offering. This significant debt financing is intended to fund a portion of its planned acquisition of Apogee Therapeutics Inc.

This move signals AbbVie's commitment to the acquisition, which is valued at approximately $5.8 billion, or $35 per share, plus potential milestone payments. The deal, announced in April, aims to bolster AbbVie's oncology pipeline with Apogee's lead drug candidate, lifileucel, a potential treatment for advanced melanoma.

The bond offering is expected to be structured in multiple tranches, with maturities ranging from several years to several decades. AbbVie's credit rating is currently A- from S&P Global Ratings and A2 from Moody's Investors Service, both of which are considered investment grade. This strong rating is crucial for attracting investors and securing favorable borrowing terms.

While the exact timing and pricing of the bond offering have not been disclosed, the initiation of this process indicates that the Apogee acquisition is progressing as planned. AbbVie's strategy often involves leveraging debt to finance significant acquisitions, enabling it to expand its portfolio and maintain financial flexibility.