JWCA acts as an exchange agent for wright medical group on its $395 million convertible bond exchange and new issuance

Transaction Background

JWCA was hired by Wright Medical Group to advise on its capital strucure, then execute a capital raise in a smart, efficient manner

Evaluated refinancing options with the Wright team, including comparative analytics for:

Designed the private wall-cross and exchange strategy to avoid stock price risk, focus on outright long-only investors, and achieve attractive terms:

Included optimization of call spread terms including pricing and company-friendly documentatio

Assisted the team with documentation, accounting, and tax review

Provided advice, support and analysis during the execution

Results

The Company extended maturity on $99mm of debt and raised $294mm of new capital:

Upsized the transaction from a base deal size of $250mm to $395mm, thereby adding meaningful cash to the Balance Sheet
Repurchased $54mm of existing 2.00% convertible due 2017 and $45mm of existing 2.00% convertible due 2020, thereby pushing out maturity on a sizable portion of their liability by 3+ years

Avoided stock price risk, as we executed on an overnight basis after the wall-cross

Wright achieved attractive call spread terms: