Clovis Oncology offering convertible senior notes, stocks to raise up to $345M

Monday April 16, 2018 0 comments Tags: Boulder, Clovis Oncology, Rucaparib

BOULDER -- Clovis Oncology, Inc. (NASDAQ:CLVS) announced it has commenced two separate underwritten public offerings of convertible senior notes and common stock to raise a total of $345 million.Clovis_Oncology_logoUSE

Clovis said it intends to offer, subject to market and other conditions, $200 million aggregate principal amount of its convertible senior notes due 2025 in an underwritten registered public offering.

In connection with this offering, Clovis intends to grant the underwriters a 30-day option to purchase up to an additional $30 million aggregate principal amount of the convertible senior notes on the same terms and conditions.

Holders of the notes may convert their notes at their option at any time prior to the close of business on the business day immediately preceding the maturity date, May 1, 2025.

The interest rate, conversion rate and other terms of the notes will be determined at the time of pricing of the offering of the notes.

Clovis said it also intends to offer concurrently, subject to market and other conditions, $100 million of shares of its common stock in an underwritten registered public offering.

In connection with this offering, Clovis intends to grant to the underwriters a 30-day option to purchase up to an additional $15 million of shares of its common stock on the same terms and conditions.

All shares of the common stock to be sold in the offering will be offered by Clovis Oncology.

Clovis said it intends to use the combined net proceeds of the offerings for general corporate purposes, including sales and marketing expenses associated with Rubraca® (rucaparib) in the United States and, if approved by the European Commission, in Europe, funding of its development programs, general and administrative expenses, acquisition or licensing of additional product candidates or businesses and working capital. Morgan Securities LLC and BofA Merrill Lynch are acting as joint book-running managers for each of the offerings.

The offerings are subject to market and other conditions, and there can be no assurance as to whether or when the offerings may be completed, or as to the actual size or terms of the offerings.

The closing of each offering is not contingent on the closing of the other offering.

The common stock and the convertible notes are being offered pursuant to an effective shelf registration statement that Clovis has filed with the Securities and Exchange Commission (“SEC”).

Copies of the applicable prospectus supplement and related prospectus relating to each offering may be obtained from J. P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Ave., Edgewood, NY 11717 or by calling toll-free (866) 803-9204, or from BofA Merrill Lynch, NC1-004-03-43, 200 North College St., 3rd floor, Charlotte NC 28255-0001, Attn: Prospectus Department, or by calling 1-800-294-1322 or by email to [email protected]