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Amicus Therapeutics, Inc. (NASDAQ:FOLD) an international biotechnology firm working in the forefront of rare and orphan diseases, has priced its previously reported private offering of $225 million total principal amount of 3% convertible senior notes unpaid 2023 in a private placement deal under the “Securities Act”.

Amicus has approved the initial buyers an alternative, exercisable for 30 days, to buy up to an additional total principal sum of notes of $25 million on the similar terms and conditions, exclusively to accommodate over-allotments, if any. This offering is projected to close by December 21, 2016, dependent to customary closing conditions.

The highlights

The “Notes” will be senior unsecured responsibilities of Amicus. It will bear interest of 3% per annum, to be paid semi-annually on December 15 and June 15 of each year, starting June 15, 2017. The “Notes” will mature in December 2023, unless earlier redeemed, converted or repurchased. It will be convertible at the alternative of holders, under specific circumstances and during specific periods, into shares, cash of Amicus’ common stock or a mix of shares and cash of Amicus’ common stock, at firm’ election.

The initial conversion price of the notes is more than 163.39 shares of company’ common stock per $1,000 principal sum of notes, which is equal to a preliminary conversion price of roughly $6.12 per share of Amicus’ stock. This preliminary conversion price indicates a premium of almost 27.5% over the last posted sale price of Amicus’ stock at $4.80.

The conversion price will be reliant to adjustment upon the incidence of specific events. Amicus may exchange for cash all or a percentage of the notes, at its discretion, on or after December 2020, under specific circumstances at a redemption rate equal to 100% of the principal sum of the notes to be cashed, plus unpaid and accrued interest to, but discounting, the redemption date.

The net proceeds anticipated from the deal is approximately $218.7 million after deducting the preliminary purchasers’ commissions and discounts and projected offering costs payable by Amicus.

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Steve Kanaval: Portfolio Manager/Writer/ Market Analyst Steve began his career in the Trading Pits in Chicago making markets at the Chicago Mercantile Exchange (NYSE:CME) the Chicago Board of Trade and the CBOE in the early 80’s. He ran the Morgan Stanley Derivative Prop Trading for the firm specializing in Index Arbitrage. He continued his career as a Trader/Portfolio Manager for multiple Hedge Funds during the Internet Boom of the 90’s managing large portfolios. Steve is known as an expert in MicroCap Technology Stocks and the emerging Digital Currency markets as a Portfolio Manager for his Family Office. Steve has managed portfolio’s in volatile asset classes for 3 decades as a commodity trader, hedge fund manager and digital currency trader and miner. Steve publishes his views on the asset classes in a public forum and has published more than 10,000 articles simplifying these complex and volatile assets for readers. His work is published on multiple sites including Bloomberg, Equities.com, Hacked.com, CryptoCurrencyNews as a paid contributor. His work includes research, journalism and archived video on important market volatility related to stocks, digital currency and other volatile misunderstood asset classes. He offers a humorous, unique insight and the related back stories and drivers for readers interested in volatility and emerging market assets. Full disclosure Steve is long 25 digital currencies and sits on the board of multiple public companies involved in digital currencies, and owns shares in these companies from time to time.

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