Indivior Prices $450M 0.625% Convertible Notes to Repay Debt, Buy Shares
Indivior has priced a $450 million 0.625% convertible senior notes offering due 2031, upsized from $400 million with a $50 million option, convertible at $41.66 per share (35% premium). Net proceeds of $437.7 million will repay $341 million of term loans and fund a $75 million share repurchase.
1. Convertible Notes Offering
Indivior launched a private offering of $450 million aggregate principal amount of 0.625% convertible senior notes due March 15, 2031, upsized from the initially planned $400 million. The initial purchasers also received a 30-day option to buy up to an additional $50 million of notes.
2. Conversion and Redemption Terms
The notes accrue interest at 0.625% payable semi-annually and carry an initial conversion rate of 24.0033 shares per $1,000 principal (approximate $41.66 conversion price, a 35% premium). Notes are convertible upon specified events before December 16, 2030, and freely thereafter until maturity, with redemption rights triggered if the stock trades above 130% of the conversion price.
3. Use of Proceeds
Indivior expects net proceeds of $437.7 million (or $486.4 million if the overallotment is exercised) and will use approximately $341 million to repay and terminate its term loan and credit facility, $75 million for a concurrent share repurchase at the prevailing Nasdaq price, with remaining funds for general corporate purposes.