JWCA acts as exchange agent for Wright Medical Group on an exchange of their 2.00% convertible due 2020 into their existing 1.625% convertible due 2023

January 2019 | read press release

Transaction Background

In a continuation of the exchange transaction executed in June of 2018, Wright Medical Group completed the significant refinancing of its 2.00% Convertible due 2020 by exchanging a portion into its existing 1.625% Convertible due 2023.  Wright again hired JWCA as its Exchange Agent in partnership with PWP as its Capital Markets Advisor, who assisted the Company with the following:

Orchestrated the execution from start to finish, including critical items such as:

• Ensuring fungibility of new 2023 notes with existing 2023 notes, incentivizing investors to participate in the exchange

• Managing auction for incremental new call spread

• Managing call spread unwind, ensuring fair terms for Company

Assisted the team with documentation, tax review, and settlement

Provided advice, support and analysis during the execution

Results

Refinanced the majority of the Company’s remaining 2020 convertible notes at a lower interest rate and higher effective conversion price

• Extended maturity by ~3.5 years on $130mm of debt, leaving only $57mm remaining from an original $633mm tranche

• Reduced coupon from 2.00% to 1.625%

• Increased conversion price from $29.94 to $33.37 ($40.86 with call spread)

• No impact to net share dilution and minimal cash used in transaction

Executed through a private wall – crossing process, thereby avoiding market risk

JWCA’s call spread negotiations resulted in meaningful savings for the Company