Date: 2017-08-08
Type of information: Private placement
Company: Radius Health (USA - MA)
Investors:
Amount: $300 million
Funding type: private placement
Planned used:
- Radius intends to use the net proceeds from the offering to support the U.S. commercial launch of Tymlos™ (abaloparatide) injection and the development of its life cycle management activities, such as Radius' investigational abaloparatide transdermal patch, and to advance the development of its pipeline of product candidates, including a Phase 2 clinical trial of elacestrant (RAD1901) in breast cancer and a Phase 1 study of RAD140 in breast cancer, and for general corporate purposes.
Others:
- • On August 8, 2017, Radius Health announced the pricing of $300 million aggregate principal amount of 3.00% Convertible Senior Notes due 2024 in an underwritten public offering registered under the Securities Act of 1933, as amended. The offering is expected to close on August 14, 2017, subject to customary closing conditions. Radius estimates that the net proceeds from the offering of the notes will be approximately $290.8 million (or approximately $334.5 million if the underwriters exercise their over-allotment option in full), after deducting underwriting discounts and commissions and estimated offering expenses payable by Radius.
- • On August 7, 2017, Radius Health announced that it intends to offer, subject to market and other conditions, $300 million aggregate principal amount of Convertible Senior Notes due 2024 in an underwritten public offering registered under the Securities Act of 1933, as amended. Radius expects to grant the underwriters an option to purchase, exercisable within a 30-day period, up to an additional $45 million principal amount of notes, solely to cover over-allotments, if any. The notes will pay interest semiannually and will mature on September 1, 2024, unless earlier repurchased or converted in accordance with their terms prior to such date. Prior to September 1, 2021, Radius will not have the right to redeem the notes. Subject to certain conditions, on or after September 1, 2021, Radius may redeem for cash all or a part of the notes. Prior to June 1, 2024, the notes will be convertible at the option of holders of the notes only upon satisfaction of certain conditions and during certain periods, and thereafter, will be convertible at any time until the close of business on the business day immediately preceding the maturity date. Upon conversion, holders of the notes will receive shares of Radius common stock, cash or a combination thereof, at Radius' election. The interest rate, initial conversion rate and other terms of the notes will be determined at the time of the pricing of the offering. J.P. Morgan Securities and Morgan Stanley & Co. are acting as joint book-running managers for the proposed offering.
Therapeutic area: Bone diseases - Cancer - Oncology - Endocronological diseases
Is general: Yes
