Exhibit 10.1

 

EXECUTION VERSION

 

SIXTH AMENDMENT dated as of December 7, 2010 (this “Amendment”), to the CREDIT
AGREEMENT dated as of August 15, 2008, as heretofore amended (as so amended, the
“Credit Agreement”), among CEPHALON, INC., a Delaware corporation, the LENDERS
party thereto and JPMORGAN CHASE BANK, N.A., as Administrative Agent.

 

WHEREAS, the Lenders have agreed to extend credit to the Borrower under the
Credit Agreement on the terms and subject to the conditions set forth therein;
and

 

WHEREAS, the Borrower has requested that the Lenders amend certain provisions of
the Credit Agreement, and the Lenders whose signatures appear below,
constituting at least the Required Lenders, are willing to amend the Credit
Agreement on the terms and subject to the conditions set forth herein;

 

NOW, THEREFORE, in consideration of the mutual agreements herein contained and
other good and valuable consideration, the sufficiency and receipt of which are
hereby acknowledged, the parties hereto hereby agree as follows:

 

SECTION 1.  Defined Terms.  Capitalized terms used but not otherwise defined
herein (including in the recitals hereto) have the meanings assigned to them in
the Credit Agreement.

 

SECTION 2.  Amendments to the Credit Agreement.  (a)  Section 1.01 of the Credit
Agreement is hereby amended by inserting in the appropriate alphabetical place
the following new defined term:

 

“Specified Investment” means (a) the purchase or other acquisition by the
Borrower or any Subsidiary (in a single transaction or a series of related
transactions) (i) resulting in ownership by the Borrower or any Subsidiary of up
to 20% of the common Equity Interests in a Person identified as “Martin” (the
“Target”) for up to $300,000,000 and (ii) of an exclusive license to use the
Target’s or an Affiliate of Target’s technology platform to develop products in
therapeutic areas of interest to Cephalon for up to $150,000,000, (b) any
capital contributions or loans or advances by the Borrower or any Subsidiary to
any Subsidiary of the funds to make the investments referred to in clause (a),
and (c) any subsequent transfer of Equity Interests in the Target or the
exclusive license referred to in clause (a)(ii) above from the Borrower or any
Subsidiary to any Subsidiary; provided that the definitive documentation for the
transactions referred to in clause (a) above shall have been executed and
delivered on or prior to January 31, 2011, and, at the time of and immediately
after giving effect to any such transactions, (x) no Default shall have occurred
and be continuing and (y) the Borrower shall be in compliance with the covenants
set forth in Sections 6.12, 6.13 and 6.14, in each case determined on a pro
forma basis in a manner consistent with Section 1.04(b) solely to give effect to
the incurrence of

 

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Indebtedness, if any, by the Borrower or any Subsidiary in connection with such
transactions.

 

(b)  Section 6.04 of the Credit Agreement is hereby amended by (i) deleting the
“and” at the end of clause (z), (ii) replacing the period at the end of clause
(aa) with “; and” and (iii) adding the following new clause:

 

(bb)  the Specified Investment.

 

SECTION 3.  Representations and Warranties.  The Borrower hereby represents and
warrants to the Administrative Agent and to each of the Lenders, as of the
Amendment Effective Date (as defined below), that:

 

(a)  The execution, delivery and performance by the Borrower of this Amendment
have been duly authorized by all necessary corporate or other organizational
and, if required, stockholder or other equityholder action.  This Amendment has
been duly executed and delivered by the Borrower and this Amendment and the
Credit Agreement, as amended by this Amendment, constitute legal, valid and
binding obligations of the Borrower, enforceable against it in accordance with
its terms, subject to applicable bankruptcy, insolvency, reorganization,
moratorium and other laws affecting creditors’ rights generally and to general
principles of equity, regardless of whether considered in a proceeding in equity
or at law.

 

(b)  The representations and warranties of the Borrower and the Subsidiary Loan
Parties set forth in the Credit Agreement and the other Loan Documents are true
and correct in all material respects on and as of the Amendment Effective Date,
except in the case of any such representation or warranty that expressly relates
to an earlier date, in which case such representation or warranty is true and
correct in all material respects on and as of such earlier date.

 

(c)  On and as of the Amendment Effective Date, after giving effect to this
Amendment, no Default has occurred and is continuing.

 

SECTION 4.  Effectiveness.  This Amendment shall become effective, as of the
date first above written, on the date (the “Amendment Effective Date”) on which
the Administrative Agent shall have received duly executed counterparts hereof
that, when taken together, bear the authorized signatures of the Borrower and
Lenders constituting at least the Required Lenders, provided that the
Administrative Agent shall have received all fees and other amounts due and
payable to it or any of its Affiliates on or prior to the Amendment Effective
Date, including reimbursement of all reasonable and documented out-of-pocket
expenses (including fees, charges and disbursements of counsel) required to be
reimbursed by the Borrower under the Credit Agreement.

 

SECTION 5.  Effect of Amendment.  (a)  Except as expressly set forth herein,
this Amendment shall not by implication or otherwise limit, impair, constitute a
waiver of or otherwise affect the rights and remedies of the Lenders or the
Administrative Agent under the Credit Agreement or any other Loan Document, and
shall not alter, modify, amend or in any way affect any of the terms,
conditions, obligations, covenants

 

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or agreements contained in the Credit Agreement or any other Loan Document, all
of which are ratified and affirmed in all respects and shall continue in full
force and effect.  Nothing herein shall be deemed to entitle any Loan Party to a
consent to, or a waiver, amendment, modification or other change of, any of the
terms, conditions, obligations, covenants or agreements contained in the Credit
Agreement or any other Loan Document in similar or different circumstances.

 

(b)  On and after the Amendment Effective Date, each reference in the Credit
Agreement to “this Agreement”, “hereunder”, “hereof”, “herein”, or words of like
import, and each reference to the Credit Agreement in any other Loan Document
shall be deemed to be a reference to the Credit Agreement as amended hereby. 
This Amendment shall constitute a “Loan Document” for all purposes of the Credit
Agreement and the other Loan Documents.

 

SECTION 6.  Applicable Law.  THIS AMENDMENT SHALL BE CONSTRUED IN ACCORDANCE
WITH AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK.

 

SECTION 7.  Counterparts.  This Amendment may be executed in counterparts (and
by different parties hereto on different counterparts), each of which shall
constitute an original but all of which, when taken together, shall constitute a
single contract.  Delivery of an executed counterpart of a signature page of
this Amendment by facsimile or other electronic imaging shall be as effective as
delivery of a manually executed counterpart of this Amendment.

 

SECTION 8.  Severability.  Any provision of this Amendment held to be invalid,
illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such invalidity, illegality or unenforceability
without affecting the validity, legality and enforceability of the remaining
provisions hereof; and the invalidity of a particular provision in a particular
jurisdiction shall not invalidate such provision in any other jurisdiction.

 

SECTION 9.  Headings.  The Section headings used herein are for convenience of
reference only, are not part of this Amendment and shall not affect the
construction of, or be taken into consideration in interpreting, this Amendment.

 

SECTION 10.  Administrative Agent’s Expenses.  Without limiting the Borrower’s
obligations under Section 9.03 of the Credit Agreement, the Borrower agrees to
reimburse the Administrative Agent for its reasonable and documented
out-of-pocket expenses in connection with this Amendment, including the
reasonable fees, charges and disbursements of Cravath, Swaine & Moore LLP,
counsel for the Administrative Agent.

 

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SIGNATURE PAGE TO

SIXTH AMENDMENT TO

CEPHALON, INC. CREDIT AGREEMENT

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly
executed by their respective authorized officers as of the date first above
written.

 

 

Name of Party:

CEPHALON, INC.,

 

 

 

by

 

 

/s/ Wilco Groenhuysen

 

 

Name:  Wilco Groenhuysen

 

 

Title:  Executive Vice President, Chief Financial Officer

 

 

Name of Institution:

JPMORGAN CHASE BANK, N.A., individually and as Administrative Agent

 

 

 

by

 

 

/s/ James A. Knight

 

 

Name:  James A. Knight

 

 

Title:  Vice President

 

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SIGNATURE PAGE TO

SIXTH AMENDMENT TO

CEPHALON, INC. CREDIT AGREEMENT

 

 

Name of Institution:

BANK OF AMERICA, N.A.

 

 

 

by

 

 

/s/ Yinghua Zhang

 

 

Name:  Yinghua Zhang

 

 

Title:  Vice President

 

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SIGNATURE PAGE TO

SIXTH AMENDMENT TO

CEPHALON, INC. CREDIT AGREEMENT

 

 

Name of Institution:

CITIZENS BANK OF PENNSYLVANIA

 

 

 

by

 

 

/s/ Jonathan H. Sprogell

 

 

Name:  Jonathan H. Sprogell

 

 

Title:  Senior Vice President

 

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SIGNATURE PAGE TO

SIXTH AMENDMENT TO

CEPHALON, INC. CREDIT AGREEMENT

 

 

Name of Institution:

DEUTSCHE BANK AG NEW YORK BRANCH

 

 

 

by

 

 

/s/ Frederick W. Laird

 

 

Name:  Frederick W. Laird

 

 

Title:  Managing Director

 

 

 

And

 

 

Name of Institution: (1)

DEUTSCHE BANK AG NEW YORK BRANCH

 

 

 

by

 

 

/s/ Ming K. Chu

 

 

Name:  Ming K. Chu

 

 

Title:  Vice President

 

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(1)  For any Lender requiring a second signature line.

 

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SIGNATURE PAGE TO

SIXTH AMENDMENT TO

CEPHALON, INC. CREDIT AGREEMENT

 

 

Name of Institution:

U.S. Bank National Association

 

 

 

by

 

 

/s/ Jennifer Hwang

 

 

Name:  Jennifer Hwang

 

 

Title:  Vice President

 

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Name of Institution:

Wells Fargo Bank, N.A.

 

 

 

by

 

 

/s/ John M. Fessick

 

 

Name:  John M. Fessick

 

 

Title:  Senior Vice President

 

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