LMDX - LumiraDx to raise $56.5M in convertible notes offering

LumiraDx (NASDAQ:LMDX) entered into privately negotiated subscription agreements with certain investors wherein the company agreed to sell and the investors agreed to purchase from LumiraDx $56.5M principal amount of 6.00% Convertible Senior Subordinated Notes due 2027. The purchase and sale of the notes are expected to occur on Mar.3. The year ended with ~$135M in cash and with the estimated gross proceeds from the notes offering, its pro forma cash balance as of Dec.31, 2021 would have been $191.5M. Net proceeds to be used for general corporate purposes. The notes will be the senior subordinated unsecured obligations of LumiraDx and will bear annual interest of 6%, payable semi-annually in arrears starting Sep.1, 2022. The notes will mature on Mar.1, 2027. The notes will be convertible at the holder's option at an initial conversion rate of 108.4346 shares, $0.0000028 par value per share, of LumiraDx per $1K principal amount of notes equivalent to an initial conversion price

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LumiraDx to raise $56.5M in convertible notes offering