Assertio slides on pricing $60 mln convertible debt deal

Assertio Holdings

23/08/2022 11:08

** Shares of specialty pharma co Assertio Holdings Inc
 ASRT.O  down ~25% to over 1-mth low premarket after capital
raise
    ** ASRT late Mon priced $60 mln 6.50% convertible bonds
(CBs) due 2027  urn:newsml:reuters.com:*:nGNXbWSzHY
    ** Conversion price of $4.09 represents ~12.5% premium to
stock's last sale
    ** Co to use net proceeds to redeem its 13% CBs due 2024 and
for general corp purposes
    ** Earlier this month, co reported Q2 sales increased 40%
yr/yr to $35 mln on higher demand for its bacterial infection
drug, Indocin  urn:newsml:reuters.com:*:nGNX7L7JXK
    ** ASRT has $175 mln market cap, per Refinitiv data
    ** Stock has gained 67% in 2022 and ~300% over past year

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))