Medicines greenshoe fully exercised; ups 3.5% notes to $172.5 million

By Wendy Van Sickle

Columbus, Ohio, Jan. 14 – The underwriter for Medicines Co.’s 3.5% convertible notes due Jan. 15, 2024 exercised the final $9.5 million of its $22.5 million greenshoe on Friday, bringing the total deal size to $172.5 million, according to an 8-K filing with the Securities and Exchange Commission.

As previously reported, the company priced $150 million of the convertibles at par on Dec. 13, and it was announced on Jan. 4 that the underwriter had exercised a $13 million portion of the greenshoe.

The convertibles priced at par with a coupon of 3.5% and an initial conversion price of 27.5%, according to a company news release.

Pricing came at the cheap end of talk for a coupon of 3% to 3.5% and at the midpoint of talk for an initial conversion premium of 25% to 30%.

J.P. Morgan Securities LLC was the bookrunner for the Rule 144A offering.

The notes are contingently convertible until Oct. 15, 2023. They are non-callable.

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

There is dividend and takeover protection.

Proceeds will be used to fund the development of Inclisiran, the company’s cholesterol medication, and for general corporate purposes.

Medicines is a Parsippany, N.J.-based biopharmaceutical company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.