---
schema_version: "secwatch.filing_event.v1"
accession: "0001683168-24-001462"
form_type: "8-K"
ticker: null
cik: "0000704562"
company_name: "Avid Bioservices, Inc."
filed_at: "2024-03-14T23:59:59+00:00"
generated_at: "2026-06-04T21:52:24.518669+00:00"
event_type: "debt"
sentiment: "neutral"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# Avid Bioservices issues $160M 7% convertible notes due 2029; repays existing 1.25% notes

## Summary
- Issued $160M aggregate principal of 7.00% Convertible Senior Notes due March 1, 2029.
- Conversion rate initially 101.125 shares per $1,000 principal, equivalent to $9.89 conversion price (12.5% premium to last sale).
- Net proceeds ~$153.5M after fees; portion used to repurchase/repay $143.75M 1.25% Exchangeable Senior Notes due 2026.
- Credit agreement amended to waive events of default from 2026 note acceleration and permit the new issuance.
- Amendment fee of $25,000 paid; covenants adjusted, including EBITDA add-back for transaction costs up to $9.5M.

## SEC filing metadata
- accession: 0001683168-24-001462
- form_type: 8-K
- cik: 0000704562
- company_name: Avid Bioservices, Inc.
- filed_at: 2024-03-14T23:59:59+00:00
- event_type: debt
- sentiment: neutral
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 1.01, 2.03, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/0001683168-24-001462-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/avid_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001683168-24-001462
- JSON: https://secwatch.observer/filing/0001683168-24-001462.json
- Plain text: https://secwatch.observer/filing/0001683168-24-001462.txt

## Key facts
- Debt Financings
  Avid Bioservices, Inc. incurred convertible notes of $160.0 million with U.S. Bank Trust Company, National Association at 7.00% per year maturing March 1, 2029.
  - Instrument: convertible notes
  - Principal: $160.0 million
  - Counterparty: U.S. Bank Trust Company, National Association
  - Rate: 7.00% per year
  - Maturity: March 1, 2029
  - Event: incurrence
  source text: completed its previously announced private offering (the “Offering”) of $160.0 million aggregate principal amount of 7.00% Convertible Senior Notes due 2029 (the “Notes”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/0001683168-24-001462-index.htm
- Material Agreements
  Avid Bioservices, Inc. entered into Indenture with U.S. Bank Trust Company, National Association valued at $160.0 million aggregate principal amount of 7.00% Convertible Senior Notes due 2029 (effective 2024-03-12).
  - Action: entry
  - Agreement: notes offering
  - Counterparty: U.S. Bank Trust Company, National Association
  - Value: $160.0 million aggregate principal amount of 7.00% Convertible Senior Notes due 2029
  - Effective: 2024-03-12
  source text: On March 12, 2024, Avid Bioservices, Inc. (the “Company”) completed its previously announced private offering (the “Offering”) of $160.0 million aggregate principal amount of 7.00% Convertible Senior Notes due 2029 (the “Notes”). The Notes were issued pursuant to an indenture, dated March 12, 2024 (the “Indenture”), between the Company and U.S. Bank Trust Company, National Association, as trustee.
  evidence_url: https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/0001683168-24-001462-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.