Isis completes $125M financing

Isis Pharmaceuticals of the USA has completed the private placement of its offering of $125.0 million of 2.625% convertible subordinated notes due 2027. The company has issued an additional $37.5 million principal amount pursuant to the exercise in full by the initial purchasers of their option to buy additional notes.

Isis intends to use the net proceeds, which were around $157.6 million, to repurchase, retire or repay its existing 5.5% notes due 2009, of which $125.0 million is currently outstanding. Through privately negotiated transactions, Isis has already agreed to repurchase about $44.1 million aggregate principal amount of the total outstanding existing notes and plans to settle these repurchase transactions on January 24. In addition, the company intends to use net proceeds remaining after such repurchase, retirement or repayment for general corporate and working capital purposes.