Vertex exchanges $153.5 million 5% convertibles

New York, Feb. 10 - Vertex Pharmaceuticals Inc. said five holders of its existing 5% convertible subordinated notes due 2007 have agreed to exchange $153.5 million principal amount of the securities for new convertibles.

The new securities will be 5.75% convertible senior subordinated notes due 2011 with a conversion price of $14.94 per share, a 55% premium over the closing price of Vertex's stock for the four days ending Feb. 6. The new convertibles will be callable from Feb. 15, 2007 onwards.

Vertex issued $153.5 million of the new convertibles in the exchange. Closing is expected on Feb. 13.

The conversion price for the old convertibles was $92.26.

The transaction leaves $161.5 million of the old convertibles outstanding.

Vertex, a Cambridge, Mass., pharmaceutical company, said it will file a registration statement with the Securities and Exchange Commission for the new notes.

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