Intercept Pharmaceuticals Retires Additional Senior Notes

By Colin Kellaher

Intercept Pharmaceuticals Inc. on Friday said it agreed to swap $52.6 million in cash and stock to retire $44.5 million of its 3.5% convertible senior secured notes due 2026.

The Morristown, N.J., biopharmaceutical company said it would pay $22.7 million in cash and issue about 1.65 million shares, worth nearly $29.9 million based on Thursday's closing price of $18.06, in exchange for the notes.

Intercept said the swap, coupled with last month's deal to exchange $406.4 million in cash and stock for $327.9 million of the notes, would reduce the principal balance of the 2026 notes to $127.6 million from $500 million.

Intercept previously said it was making a series of financial moves to improve its capital structure, including reducing its debt and annual interest expenses, as well as potential dilution from the notes' underlying shares.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

September 02, 2022 08:32 ET (12:32 GMT)

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