Amphastar Pharmaceuticals Shares Down 9% After Private Notes Offering

Published: 2023-09-12 11:56:02 ET AMPH

By Chris Wack

Amphastar Pharmaceuticals shares declined 9% to $46.97 on Tuesday after the company said it intends to offer $300 million of convertible senior notes due 2029 in a private placement.

The stock hit a 52-week high of $67.66 on Aug. 9. The shares are up 62% in the past 12 months.

The company also intends to grant the initial purchasers of the notes an option to buy up to an additional $45 million in notes.

The notes will be general senior unsecured obligations of Amphastar and will accrue interest payable semi-annually in arrears. The interest rate, initial conversion rate and other terms will be determined when the offering prices.

Amphastar intends to use $200 million of proceeds from the offering to repay borrowings under its term loan, and up to $50 million of its stock. The remainder of the proceeds will be used for general corporate purposes.

Write to Chris Wack at [email protected]

(END) Dow Jones Newswires

09-12-23 1155ET