Nevro Corp. (NYSE:NVRO) today released pricing information for a new public offering, expecting to bring in $150 million, with another $22.5 million possible through a 30-day underwriters option.
The numbers for the offering are up from yesterday, when Nevro announced the round, expecting to bring in $125 million.
Money will be raised through the sale of convertible senior notes, due 2021, to support repayment of a term loan agreement, general corporate purposes and continued commercialization of its Senza spinal cord stimulation system.
The offering will include a 30-day underwriters option to purchase an additional $22.5 million aggregate principal amount of notes to cover an over-allotment, Redwood City, Calif.-based Nevro said.
J.P. Morgan and Morgan Stanley will act as joint book-runners for the offering, according to a press release.
Interest rate, conversion rate and conversion price will be determined by negotiations between Nevro and the underwriters, the company said. Notes offered in the round will mature on June 1, 2021, unless repurchased or converted in accordance with terms prior to the date.
A portion of the proceeds will be used to fund the cost of convertible note hedge transactions, with $21 million going towards the repayment of its existing term loan agreement, Nevro said.
Remaining funds will be used for general corporate purposes as well as the commercialization of its Senza spinal cord stimulation system, R&D and to increase working capital.