Neurocrine Biosciences buys back $179.4 million of 2.25% convertibles

By Rebecca Melvin

Concord, N.H., May 25 – Neurocrine Biosciences Inc. repurchased $179.4 million principal amount of its 2.25% convertible senior notes due 2024 in separate, privately negotiated transactions with certain holders of the notes, according to a company press release.

The purchase price in cash totals about $224 million, an amount based in part on the trading price of the company’s common stock and accrued and unpaid interest.

The repurchases are expected to close over a period ending on June 14, subject to customary closing conditions.

Following the repurchases, $201.8 million principal amount of the 2024 notes will remain outstanding from an initial principal balance of $517.5 million.

“Given our balance sheet flexibility, we have now reduced our convertible debt levels by approximately 60% over the past two years in an effort to minimize dilution for our shareholders,” Neurocrine Biosciences chief financial officer Matt Abernethy said in the news release.

The biopharmaceutical company is based in San Diego.

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