JWCA advises Ironwood Pharmaceuticals on its $150mm debt financing

Transaction Background

JWCA was hired by Ironwood Pharmaceuticals to advise on refinancing of its 11.00% PhaRMA Notes due 2024:

Evaluation of refinancing alternatives: Assisted in cost of capital analysis, covenant and structural comparisons, peer analysis, an fee studies of financing tactics, including:
- Structured and straight debt
- Royalty-based debt
- Convertible debt and call spread
- Common equity
Provided advice, support and analysis throughout negotiations with investors

Results

Helped obtain $150mm at a significantly lower cost of capital, with modest covenants
This is the second capital raise in which JWCA has acted as Financial Advisor for Ironwood in the past 2 years