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Assertio Announces Proposed Convertible Senior Notes Offering to Refinance Existing 13% Senior Secured Notes Due 2024
LAKE FOREST, Ill., Aug. 22, 2022 (GLOBE NEWSWIRE) -- Assertio Holdings, Inc. (“Assertio” or the “Company”) (Nasdaq: ASRT), a specialty pharmaceutical company
About this update from Assertio Holdings, Inc.
[{"type":"text","content":"LAKE FOREST, Ill., Aug. 22, 2022 (GLOBE NEWSWIRE) -- Assertio Holdings, Inc. (“Assertio” or the “Company”) (Nasdaq: ASRT), a specialty pharmaceutical company offering differentiated products to patients, today announced its intention to offer, subject to market and other conditions, $60 million aggregate principal amount of convertible senior notes due 2027 (the “Convertible Notes”) in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). Assertio also expects to grant the initial purchasers of the Convertible Notes an option to purchase, within a 13-day period beginning on, and including, the date on which the Convertible Notes are first issued, up to an additional $10 million aggregate principal amount of the Convertible Notes. The Convertible Notes will initially be senior, unsecured obligations of Assertio and will accrue interest payable semi-annually in arrears. The Convertible Notes will mature on September 1, 2027, unless earlier repurchased, redeemed or converted. The Convertible Notes will be convertible into cash, shares of Assertio’s common stock (“common stock”), or a combination thereof, at Assertio’s election. The Convertible Notes will be redeemable, in whole or in part, for cash at Assertio’s option at any time, and from time to time, on or after September 8, 2025 and before the 41st scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of common stock exceeds 130% of the conversion price for a specified period of time. The redemption price will be equal to the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest, if any, up to, but excluding, the redemption date. The interest rate, initial conversion rate and other terms of the Convertible Notes will be determined at the pricing of the offering. The Company will agree not to incur liens on its or its subsidiaries’ assets or to permit its subsidiaries to guarantee indebtedness without equally and ratably securing or guaranteeing the notes, and will agree not to permit its subsidiaries to issue disqualified or preferred stock, subject to certain exceptions. Assertio intends to use the net proceeds from the offering to repurchase or redeem its 13% Senior Secured Notes due January 31...