Abbott Lining Up $20 Billion Bridge Loan for Exact Sciences Acquisition

Abbott Laboratories is lining up one of the largest high-grade bridge loans of the year, a $20 billion facility arranged by Morgan Stanley to finance its acquisition of Exact Sciences Corp. The 364-day facility, according to sources familiar with the transaction who requested anonymity, ranks among the largest single-commitment financings of the past decade.

Largest Investment-Grade Acquisition Financing Since 2024

For investment-grade borrowers, this is the biggest acquisition-related bridge since August 2024, when Mars Inc. secured $29 billion to acquire Kellanova. Morgan Stanley also led two other significant bridge loans this year, including Keurig Dr Pepper Inc.’s $18 billion purchase of JDE Peet’s and Baker Hughes’ $9.6 billion acquisition of Chart Industries Inc.

Competitive Financing Environment

Hyperscale tech companies such as Meta Platforms Inc., Alphabet Inc., and Oracle Corp. have recently tapped the high-grade debt market, borrowing billions to fuel AI-driven growth. Abbott will face strong competition as it seeks long-term financing in this crowded market.

Despite the large-scale borrowing, Abbott expects to retain its investment-grade credit rating, according to a presentation to investors.

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