Semler Scientific (SMLR) said Friday it has priced its $85 million private offering of 4.25% convertible senior notes due 2030, up from the initially planned $75 million.
The initial conversion rate of the notes will be 13.0826 shares per $1,000 principal amount of the notes, equivalent to an initial conversion price of about $76.44 per share.
In connection with the pricing, the company also entered into capped call transactions with certain financial institutions. The cap price of the capped call transactions will initially be about $107.01.
Net proceeds are estimated to be about $81.4 million or $95.8 million if the initial purchasers fully exercise their overallotment option. About $6.6 million of these proceeds will be allocated to the capped call transactions, with the remainder to be used for general corporate purposes, bitcoin acquisition, investments and strategic initiatives, among others, the company said.
The offering is set to close on Jan. 28.
Shares of the company fell 10% in recent premarket trading activity Friday.
Price: 54.99, Change: -6.16, Percent Change: -10.07
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