NuVasive priced its offering at $550 million aggregate principal amount of 2.25 percent convertible senior notes due 2021 in a private placement.
Here are sixkey notes:
1. NuVasive granted initial purchasers of the convertible notes a 13-day option to purchase up to $100 million additional aggregate principal amount of the convertible note.
2. The convertible notes sale to the initial purchasers is expected to settle March 16. It's still subject to customary closing conditions.
3. The sale is expected to result in $536 million in net proceeds to NuVasive after deducting fees and estimated offering expensive payable by NuVasive. The company intends to use around $56 million of the net proceeds to pay the cost of the convertible note hedge transactions.
4. The convertible notes will be general unsecured obligations of NuVasive and will bear interest at a 2.25 percent fixed rate per year, payable semiannually.
5. The convertible notes will mature on March 15, 2021 unless earlier purchased, redeemed or converted.
6. In a separate transaction concurrent with the offering, NuVasive plans to use $344 million of the net proceeds to repurchase around $277 million of the principal amount of NuVasive's outstanding $402.5 million aggregate principle amount of the convertible senior notes due 2017.