Cubist Pharmaceuticals, Inc. Announces Redemption Date For 5 1/2% Convertible Subordinated Notes Due 2008
LEXINGTON, Mass.--(BUSINESS WIRE)--June 8, 2006--Cubist Pharmaceuticals, Inc. (Nasdaq: CBST - News) today announced that it will redeem its 5 1/2% Convertible Subordinates Notes due 2008 on June 28, 2006, in accordance with the terms of the indenture governing the notes. The $165 million principal amount outstanding will be redeemed at $1,032.28 per $1,000 principal amount of notes. The holders may convert the notes into common stock at a conversion price of approximately $47.20 per share until the close of business on June 27, 2006. At such price, each $1,000 principal amount of notes is convertible into approximately 21.1864 shares of common stock. A notice of redemption setting forth the redemption procedures is being mailed by The Bank of New York, the trustee for the notes, to all registered holders of the notes. Copies of the notice of redemption and additional information relating to the procedures for redemption may be obtained from The Bank of New York by calling (800) 254-2826.