Alere Inc. (NYSE:ALR), formerly Inverness Medical Innovations, said it is increasing its debt offering by another $50 million, bringing the total up to $400 million in notes offered to foreign institutional investors.
The Waltham, Mass.-based personal health firm previously said it would issue some $350 million in convertible debt as senior subordinated notes via a private placement under regulatory rules that don’t require the securities to be registered. Under Regulation S of the Securities Act, the notes can’t be sold in the U.S. unless they’re registered with the federal Securities & Exchange Commission.
Alere said it would use the proceeds for working capital and the catch-all "other corporate purposes."
Inverness shareholders approved the name change in July. The company created the brand in 2008 after uniting acquisitions Alere Medical, ParadigmHealth and Matria Healthcare under a single umbrella. The name is derived from the Latin alo, for “nurture,” and was tapped after “extensive research with investors, customers and industry experts,” CEO Ron Zwanziger said at the time.
In its first quarterly earnings release under its new moniker, Alere posted a nearly 600 percent increase in second-quarter net losses, despite a 19.2 percent increase in revenues.
The company reported net losses of $8.3 million, or 10 cents per diluted share, on sales of $523.0 million during the three months ended June 30. That compares with net losses of $1.2 million, or 2 cents per diluted share, on sales of $438.7 million during the same period last year.