By Mike Cherney 

Actavis PLC lowered the expected yields on its more-than-$20 billion bond sale Tuesday, reflecting strong investor demand for a bond that should rank as the second-largest corporate offering on record.

The bond sale, which will help pay for the pharmaceutical company's $66 billion acquisition of health-care firm Allergan Inc., was announced on Monday and already has received about $90 billion in orders from investors, according to a person tracking the sale.

A 10-year bond was offered on Tuesday morning to yield about 1.80 percentage points more than benchmark U.S. Treasurys. On Monday, the company had suggested a yield of about 2.00 percentage points more. A 10-year Treasury recently traded with a yield of about 2.10%.

Lower yields typically mean higher prices.

The bond sale is expected to be completed on Tuesday. The company is selling bonds in 10 parts, with maturities ranging from 18 months to 30 years.

Analysts expected the Actavis deal to meet with strong demand, given that rates are still relatively low on safe government debt.

The largest corporate-bond offering on record was Verizon Communications Inc.'s $49 billion bond sale in September 2013.

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