By Abigail W. Adams
Portland, Me., Nov. 10 – Amyris Inc. priced an upsized $600 million of five-year convertible notes after the market close on Tuesday at par at the rich end of talk with a coupon of 1.5% and an initial conversion premium of 35%, according to a company news release.
Price talk was for a coupon of 1.5% to 2% and an initial conversion premium of 30% to 35%, according to a market source.
J.P. Morgan Securities LLC, Cowen Inc. and Oppenheimer & Co. Inc. were bookrunners for the Rule 144A offering, which carries a greenshoe of $90 million.
The initial size of the offering was $400 million with a greenshoe of $60 million.
The notes are non-callable until Nov. 20, 2024 and then subject to a 130% hurdle.
They are putable upon a fundamental change.
The notes will be settled in cash, shares or a combination of both at the company’s option.
In connection with the offering, the company entered into capped call transactions.
Net proceeds are expected to be $583 million or will be $670.5 million if the greenshoe is exercised in full.
Proceeds will be used to cover the cost of the call spread, to repay debt and for general corporate purposes.
Amyris is an Emeryville, Calif.-based biotechnology company.
| Issuer: | Amyris Inc.
|
| Securities: | Convertible senior notes
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| Amount: | $600 million
|
| Greenshoe: | $90 million
|
| Maturity: | Nov. 15, 2026
|
| Bookrunners: | J.P. Morgan Securities LLC, Cowen Inc. and Oppenheimer & Co. Inc.
|
| Coupon: | 1.5%
|
| Price: | Par
|
| Yield: | 1.5%
|
| Conversion premium: | 35%
|
| Conversion price: | $10.75
|
| Conversion rate: | 93.0579
|
| Call options: | Non-callable until Nov. 20, 2024 and then subject to a 130% hurdle
|
| Put options: | Upon a fundamental change
|
| Pricing date: | Nov. 9
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| Settlement date: | Nov. 15
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| Distribution: | Rule 144A
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| Talk: | Coupon of 1.5% to 2% and initial conversion premium of 30% to 35%
|
| Stock symbol: | Nasdaq: AMRS
|
| Stock price: | $7.96
|
| Market capitalization: | $2.41 billion
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