Proceeds will fund the broker’s acquisition of Noraxis Capital Corporation and pay down borrowings

Arthur J Gallagher has completed a purchase agreement for the private placement of $700m (£412m) of senior unsecured notes.

The agreement provides for six series of notes with a weighted average rate of 4.02% and maturities as follows: $50m due in 2018, 2019 and 2020, $200m due in 2023, $200m due in 2025 and $150m due in 2026.

In an announcement yesterday the company said it intended to use the proceeds to fund its previously announced acquisition of Noraxis Capital Corporation and pay down borrowings under its line of credit facility.

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