TransMedics Group, Inc. Prices $400 Million of Convertible Senior Notes Due 2028

About this update from Transmedics Group, Inc.

[{"type":"text","content":"ANDOVER, Mass., May 8, 2023 /PRNewswire/ -- TransMedics Group, Inc. (\"TransMedics\") (Nasdaq: TMDX), a medical technology company that is transforming organ transplant therapy for patients with end-stage lung, heart, and liver failure, today announced the upsize and pricing of $400 million aggregate principal amount of convertible senior unsecured notes that will mature on June 1, 2028, unless earlier redeemed, repurchased or converted. The offering was upsized from the previously announced offering size of $300 million aggregate principal amount of notes. TransMedics has also granted the initial purchasers of the notes an option to purchase, within a 13-day period beginning on, and including, the initial issuance date of the notes, up to an additional $60 million aggregate principal amount of notes. The sale of the notes to the initial purchasers is expected to settle on May 11, 2023, subject to customary closing conditions.\n\n \n \n \n \n \n \n\n \nTransMedics estimates that the net proceeds of the offering will be approximately $387.2 million (or approximately $445.4 million if the initial purchasers' option to purchase additional notes is exercised in full), after deducting the initial purchasers' discounts and commissions and estimated offering expenses payable by TransMedics. TransMedics intends to use approximately $45.3 million of the net proceeds from the offering to pay the cost of the capped call transactions described below. In addition, TransMedics intends to use the remaining net proceeds to expand its logistics network through potential partnerships and acquisitions and for general corporate purposes.\nThe notes will be senior unsecured obligations of TransMedics and bear cash interest at a rate of 1.50% per year, payable semiannually in arrears on June 1 and December 1 of each year, beginning on December 1, 2023. The notes will be convertible, only during certain periods and subject to certain circumstances, into cash, shares of TransMedics common stock, or a combination of cash and shares of TransMedics common stock, at TransMedics' election. The initial conversion rate for the notes is 10.6388 shares of TransMedics' common stock per $1,000 principal amount of notes, which is equivalent to an initial conversion price of approximately $94.00 per share of TransMedics' common stock, representing an approximately ...

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