iRhythm Technologies slides on planned convertible offering

iRhythm Holdings

04/03/2024 17:42

** iRhythm Technologies Inc's  IRTC.O  shares down 7.5% at
$111.47 on Mon as digital health firm looks to raise capital
    ** Heart monitor maker early Mon said offering privately
$450 mln convertible bonds (CBs) due Sept 2029
    ** Existing lender and shareholder Braidwell LP indicated
interest in buying portion of the CBs offered
    ** IRTC expects to use approx $80 mln of net proceeds to
fully repay debt outstanding under loan agreement with
Braidwell, remainder for general purposes including sales and
marketing, R&D among other uses
    ** Co has current market cap of roughly $3.4 bln, per LSEG
data
    ** On Feb 22, IRTC reported Q4 rev of $132.5 mln, up ~18%
yr/yr, topping LSEG consensus of $130.2 mln, while adj
loss-per-share of $1.26 was wider than $0.61 loss expected
    ** With move on the session, IRTC's stock up ~4% YTD vs
Nasdaq's 8% advance
    ** IRTC joins a flurry of CB issuance to begin 2024,
including MP Materials Corp's   MP.N  offering announcement
early Mon, as the Fed signals rates to stay higher for longer

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))