WALTHAM, Mass., May 9 /PRNewswire-FirstCall/ -- Inverness Medical Innovations, Inc. today announced that it has entered into definitive agreements to sell approximately $132.5 million principal amount of Convertible Senior Subordinated Notes due 2017 in a private placement to qualified institutional buyers. The transaction is expected to close early next week.
The notes will pay interest semiannually at a rate of 3.00% per annum. The conversion rate on the notes is equal to a conversion price of approximately $52.30 per share, representing a 30% conversion premium based on the closing price of $40.23 per share on May 9, 2007. The conversion price is subject to adjustment one year from the date of sale if the 30 day volume-weighted average trading price of Inverness common stock as of such date is lower than $40.23, subject to a floor of $40.23.
Inverness estimates that the net proceeds from this offering will be approximately $128.7 million, after deducting estimated discounts, commissions and expenses. Inverness intends to use the net proceeds from this offering for general corporate purposes, including acquisitions.
This notice does not constitute an offer to sell or a solicitation of an offer to buy securities. The notes and Inverness’ common stock being sold have not been registered under the Securities Act of 1933 or any state securities laws and, until so registered, may not be offered or sold in the United States or any state absent registration or an applicable exemption from registration requirements.
For more information about Inverness Medical Innovations, please visit our website at www.invernessmedical.com.
Inverness Medical Innovations is a leading global developer of in vitro diagnostic products and is presently exploring new opportunities for its lateral flow immunoassay and other proprietary technologies in a variety of professional diagnostic and consumer-oriented applications, including immuno- diagnostics with a focus on cardiology, infectious disease and women’s health. Inverness’ new product development efforts, as well as its position as a leading supplier of consumer pregnancy and fertility/ovulation tests and rapid point-of-care diagnostics, are supported by the strength of its intellectual property portfolio. Inverness is headquartered in Waltham, Massachusetts.
Inverness Medical Innovations, Inc.
CONTACT: Doug Guarino, Director of Corporate Relations, +1-781-647-3900,or Jon Russell, Vice President, Finance, +1-781-314-2103, both of InvernessMedical Innovations, Inc.
Web site: http://www.invernessmedical.com//
