By Wendy Van Sickle
Columbus, Ohio, Aug. 7 – BioMarin Pharmaceutical Inc. priced a $450 million underwritten offering of 0.599% senior subordinated convertible notes due 2024 with an initial conversion premium of 40%, the company said in a press release on Monday.
The underwritten offering priced near talk of 0.5999%, with an initial conversion premium of 40%. Additionally, the $1,000-par bonds had been expected to price at 98.5% to 99% of par.
BofA Merrill Lynch is the bookrunning manager. J.P. Morgan Securities LLC and Goldman Sachs & Co. are the joint bookrunners.
The deal includes a 13-day over-allotment option for an additional $45 million of notes.
Conversions will be settled with common stock, though cash may also be distributed in the case of fractional shares.
Proceeds from the offering will be used to repay, repurchase or settle in cash some or all of the company’s 0.75% senior subordinated convertible notes due October 2018, although no such deal is being done concurrently with the offering. Any remaining proceeds will be used for general corporate purposes, including clinical trials of product candidates and the expansion of manufacturing capacity, particularly with respect to the manufacturing capability for BioMarin’s gene therapy program.
BioMarin is a San Rafael, Calif.-based biopharmaceutical company.
| Issuer: | BioMarin Pharmaceutical Inc.
|
| Securities: | Senior subordinated convertible notes
|
| Amount: | $450 million
|
| Greenshoe: | $45 million
|
| Maturity: | 2024
|
| Bookrunners: | BofA Merrill Lynch as bookrunning manager with joint bookrunners J.P. Morgan Securities LLC and Goldman Sachs & Co
|
| Coupon: | 0.599%
|
| Conversion premium: | 40%
|
| Conversion price: | $124.67
|
| Conversion rate: | 8.0212 shares
|
| Pricing date: | Aug. 7
|
| Talk: | 0.599%, up 40%
|
| Stock symbol: | NYSE: BMRN
|
| Stock price: | $89.05 as of Aug. 7 close
|
| Market capitalization: | $15.65 billion
|
|
|
© 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.
