Abbott Laboratories Secures Major Bond Issue to Fund Strategic Acquisition

Abbott Laboratories launches a multi-tranche bond offering to finance its strategic $21 billion acquisition of Exact Sciences, while maintaining its dividend commitment.

In a decisive move to bolster its position in the diagnostics industry, Abbott Laboratories has launched a substantial corporate bond offering. The proceeds are earmarked to finance the company's planned acquisition of Exact Sciences, a transaction valued at approximately $21 billion. This capital raise marks a critical step toward finalizing the strategically important deal.

Financing the Future

To secure the necessary liquidity for the purchase, Abbott is tapping the debt market with a multi-tranche bond issuance. The offering consists of eight separate tranches with maturities ranging from three to 40 years. In total, the company aims to raise about $20 billion through this dedicated financing effort.

With shareholder approval from Exact Sciences already secured, this debt placement removes the final financial obstacle to completing the acquisition. The integration of Exact Sciences is anticipated to significantly enhance Abbott's diagnostic portfolio and solidify its market standing. Company officials expect the transaction to close before the end of the second quarter of 2026.

Unwavering Commitment to Shareholders

Despite the scale of this investment, Abbott's management has reaffirmed its commitment to returning capital to shareholders. Concurrently with the financing announcement, the company declared a quarterly cash dividend of $0.63 per share. This payment is scheduled for distribution on May 15, 2026.

This declaration highlights the firm's financial resilience, representing the 409th consecutive quarterly dividend since 1924. Furthermore, Abbott has now increased its shareholder payout for 54 consecutive years, reinforcing its prestigious status as a Dividend Aristocrat.

Market Reaction and Next Steps

The market's initial response to this large-scale strategic move has been measured. Abbott's shares recently closed at €97.30. Since the start of the year, the stock has declined by just over 8%, reflecting investor caution during the complex acquisition process.

Attention now turns to the final regulatory approvals and the successful execution of the takeover by mid-year. A smooth integration is seen as pivotal for positioning Abbott for sustained long-term growth in the competitive diagnostics market.