Esperion Announces Private Offering of $200.0 Million of Convertible Senior Subordinated Notes

About this update from Esperion Therapeutics, Inc.

[{"type":"text","content":"ANN ARBOR, Mich., Nov. 10, 2020 (GLOBE NEWSWIRE) -- Esperion (NASDAQ: ESPR) today announced its intention to offer, subject to market conditions and other factors, $200.0 million aggregate principal amount of Convertible Senior Subordinated Notes due 2025 (the “notes”) in a private offering (the “offering”) to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). In connection with the offering, Esperion also expects to grant the initial purchasers of the notes an option to purchase, for settlement within a 13-day period beginning on, and including, the date on which the notes are first issued, up to an additional $30.0 million aggregate principal amount of the notes.\n The notes will be senior unsecured obligations of Esperion that are subordinated in right of payment to indebtedness, obligations and other liabilities under Esperion’s revenue interest purchase agreement, the revenue interests issued pursuant to such agreement, and any refinancing of the foregoing. Interest on the notes will be payable semi-annually in arrears. The notes will be convertible under certain circumstances into cash, shares of Esperion’s common stock or a combination thereof, at Esperion’s election. The notes will mature on November 15, 2025, unless earlier converted, redeemed or repurchased. The interest rate, conversion rate and other terms of the notes are to be determined upon pricing of the offering. In connection with the pricing of the notes, Esperion expects to enter into privately negotiated capped call transactions with one or more of the initial purchasers of the notes or their respective affiliates and/or other financial institutions (the “option counterparties”). The capped call transactions are expected generally to reduce potential dilution to Esperion’s common stock upon conversion of any notes and/or offset any potential cash payments Esperion is required to make in excess of the principal amount of converted notes, as the case may be, with such reduction and/or offset subject to a cap. If the initial purchasers of the notes exercise their option to purchase additional notes, Esperion expects to enter into additional capped call transactions with the option counterparties. In connection with establishing their initial hedges of the capped call transactions, Esperion ...

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