Halozyme Therapeutics dips after unveiling $1.3 bln convertible bonds sales

Halozyme Therapeutics

05/11/2025 21:50

** Shares of Halozyme Therapeutics HALO.O off 1.9% to $67 in extended trading as co looks to raise capital

    ** San Diego, California-based biopharma firm announces private offerings of $650 mln convertible bonds (CBs) due 2031 and $650 mln CBs due 2032

** Co plans to use portion of net offering proceeds to repurchase its outstanding 0.25% CBs due 2027 and 1% CBs due 2028

** Remainder for working capital, capex, potential acquisitions, and possible additional note repurchases including repurchases of existing CBs

** It also intends to use portion of proceeds to pay cost of capped calls, derivative transactions employed to help offset dilution

** Co has about $8 bln market cap

** HALO shares on Weds ended up 0.4% at $68.30, up 43% YTD

    ** 6 of 10 analysts rate the stock "strong buy" or "buy", rest rate "hold"; median PT is $75 - LSEG

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))