DALLAS, Sept. 28,
2023 /PRNewswire/ -- SWK Holdings Corporation
(NASDAQ: SWKH) ("SWK" or the "Company") today announced that
it has priced its previously announced registered underwritten
public offering (the "Offering") of $30
million in aggregate principal amount of 9.00% Senior notes
due 2027 (the "Notes"). SWK has also granted the underwriters of
the Offering an option to purchase up to an additional $4.5 million in aggregate principal amount of the
Notes. The total net proceeds from the Offering (excluding exercise
of the underwriter option) are approximately $29.1 million (after deducting underwriting
discounts and commissions, but before other fees and estimated
expenses).
The Notes will mature on January 31,
2027, unless earlier redeemed, and will bear interest at a
rate of 9.00% per annum, payable quarterly in arrears on
March 31, June
30, September 30 and
December 31 of each year and at
maturity, commencing on December 31,
2023.
SWK intends to use the net proceeds from the Offering for
general corporate purposes, including funding future acquisitions
and investments, repaying indebtedness, making capital expenditures
and funding working capital. The Notes will be issued in minimum
denominations of $25.00 and integral multiples
of $25.00 in excess thereof. SWK and the Notes have been
rated BBB- by Egan-Jones Ratings Company, an independent rating
agency. The Offering is expected to close on October 3, 2023,
subject to the satisfaction of customary closing conditions.
In connection with the Offering, SWK has applied to list the
Notes on the Nasdaq Global Market ("Nasdaq") under the symbol
"SWKHL". If approved for listing, trading on Nasdaq is expected to
commence on October 4, 2023.
B. Riley Securities, Inc., Ladenburg Thalmann & Co. Inc. and
William Blair & Company, L.L.C.
are acting as joint book-running managers for the Offering.
InspereX LLC and Maxim Group LLC are acting as co-managers for the
Offering.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy the securities described herein,
nor shall there be any sale of these securities in any state or
other jurisdiction in which such an offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction. The Notes may only be
offered and sold under SWK's registration statement on Form S-1
(including a preliminary prospectus), as amended and as may be
supplemented by any free writing prospectus that the Company may
file with the Securities and Exchange Commission ("SEC"), which has
been filed with the SEC and declared effective on September
28, 2023. Copies of the registration statement may be obtained on
the SEC's website at www.sec.gov or by contacting B. Riley
Securities, Inc. by phone at (703) 312-9580 or by
emailing prospectuses@brileyfin.com.
About SWK Holdings Corporation
SWK Holdings Corporation is a life science focused specialty
finance company partnering with small- and mid-sized
commercial-stage healthcare companies. SWK provides non-dilutive
financing to fuel the development and commercialization of
lifesaving and life-enhancing medical technologies and products.
SWK's unique financing structures provide flexible financing
solutions at an attractive cost of capital to create long-term
value for all SWK stakeholders. SWK's solutions include structured
debt, traditional royalty monetization, synthetic royalty
transactions, and asset purchases typically ranging in size from
$5.0 million to $25.0 million. SWK also owns Enteris BioPharma, a
clinical development and manufacturing organization providing
development services to pharmaceutical partners as well as
innovative formulation solutions built around its proprietary oral
drug delivery technologies, the Peptelligence® platform.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Statements including words such as "believes," "expects,"
"anticipates," "intends," "estimates," "plan," "will," "may," "look
forward," "intend," "guidance," "future" or similar expressions are
forward-looking statements. Because these statements reflect SWK's
current views, expectations and beliefs concerning future events,
these forward-looking statements involve risks and uncertainties,
including uncertainties related to the completion of the Offering
on the anticipated terms or at all. Investors should note that many
factors, as more fully described under the caption "Risk Factors"
and elsewhere in SWK's Form 10-K, Form 10-Q and Form 8-K filings
with the Securities and Exchange Commission and as otherwise
enumerated herein, could affect the Company's future financial
results and could cause actual results to differ materially from
those expressed in such forward-looking statements. The
forward-looking statements in this press release are qualified by
these risk factors. These are factors that, individually or in the
aggregate, could cause the Company's actual results to differ
materially from expected and historical results. You should not
place undue reliance on any forward-looking statements, which speak
only as of the date they are made. We assume no obligation to
publicly update any forward-looking statements, whether as a result
of new information, future developments or otherwise.
View original
content:https://www.prnewswire.com/news-releases/swk-holdings-corporation-announces-pricing-of-public-offering-of-senior-unsecured-notes-due-2027-301942411.html
SOURCE SWK Holdings Corporation
