Alnylam Pharmaceuticals, Inc. announced a private offering of $500 million aggregate principal amount of convertible senior notes due 2028 to qualified institutional buyers under Rule 144A.
The notes will be senior, unsecured obligations of Alnylam and will accrue interest payable semi-annually in arrears, maturing on September 15, 2028, unless earlier converted, redeemed, or repurchased.
Noteholders will have the right to convert their notes in certain circumstances and during specified periods, with Alnylam settling conversions through cash, shares of common stock, or a combination of both.
Offering Details
Private offering of $500 million convertible senior notes due 2028 to qualified institutional buyers under Rule 144A.
Conversion Options
Noteholders have the right to convert notes in specific circumstances, with settlement in cash, common stock, or a combination.
Redemption Terms
Notes are redeemable in part or in whole for cash at Alnylam's discretion after September 20, 2027, under certain conditions.
- The offering is expected to raise substantial capital for Alnylam Pharmaceuticals, enabling strategic investment and growth initiatives.
- The convertible senior notes provide flexibility for both Alnylam and investors, offering avenues for conversion or redemption based on market conditions.
- Alnylam's decision to enter into capped call transactions aims to mitigate potential dilution to common stock and manage cash obligations upon note conversion.
Alnylam's proposed offering of convertible senior notes demonstrates a strategic financial move aimed at fueling growth and optimizing capital structure. The flexibility offered by the notes and the mitigation of risks through capped call transactions highlight Alnylam's prudent financial management in pursuit of long-term goals.