JWCA advises nanostring on its UPSIZED $230 million convertible bond ISSUANCE

march 2020 | read press release

Transaction Background

After a strong earnings release and rise in stock price, NanoString was interested in raising capital to fund its growth initiatives and repay its existing debt

NanoString’s objectives:

• Take advantage of strong convert market conditions

• Fund development and commercialization of GeoMX Digital Spatial Profiling system, the continued commercialization of its portfolio of nCounter-based products, and for working capital

• Repay higher interest debt to remove restrictive covenants and increase financial flexibility

JWCA advised NanoString on deal structuring and related items, including:

• Issuer redemption and make-whole mechanics

• Evaluating cost of capital of structural alternatives

• Shareholder messaging

• Accounting considerations

• Syndicate and fee structure

• Documentation

JWCA provided advice, support, and analysis throughout the preparation and execution process

Results

NanoString convertible issuance was very well-received by investors:

• Company was able to achieve pricing in the midpoint of the marketed range (2.625% coupon and 40% conversion premium) while increasing base deal size from $175mm to $200mm

NanoString’s stock price traded down 2.7% on a day where other convertible issuers traded down on average 6.5%

JWCA was with the management team on the entire day of the offering providing execution advice and ensuring a high-quality execution