Mirum greenshoe exercised, ups 4% convertibles to $316.25 million

By Wendy Van Sickle

Columbus, Ohio, April 17 – Underwriters for Mirum Pharmaceuticals Inc.’s 4% six-year convertible notes fully exercised their $41.25 million greenshoe, increasing the total size of the deal to $316.25 million, according to an 8-K filing with the Securities and Exchange Commission.

Mirum priced $275 million after the market close on April 12 at par with an initial conversion premium of 35%, as previously reported.

Pricing came in line with talk for a fixed coupon of 4% and richer than talk for a fixed conversion premium of 32.5%.

J.P. Morgan Securities LLC (lead left) and Evercore ISI were bookrunners for the Rule 144A offering.

The deal was upsized from an initial size of $200 million with a greenshoe of $30 million.

The notes are non-callable until May 5, 2026 and then are redeemable for cash subject to a 130% hurdle.

They are putable upon a fundamental change.

The notes will be settled in cash, shares, or a combination of both at the company’s option.

Net proceeds will be $305.4 million with the greenshoe exercised in full.

Proceeds will be used to repurchase the revenue interests under the Revenue Interest Purchase Agreement with an affiliate of Oberland Capital Management LLC at a call price of $192.7 million and for general corporate purposes.

Mirum Pharmaceuticals is a Foster City, Calif.-based biopharmaceutical company.

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