secwatch.observer — SEC 8-K summary
======================================

Issuer:     Avid Bioservices, Inc. (—)
CIK:        0000704562
Form:       8-K
Filed at:   2024-03-14T23:59:59+00:00
Accession:  0001683168-24-001462
Event type: debt
Sentiment:  neutral
Materiality: 0.70
Item codes: 1.01, 2.03, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

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

- 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.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/0001683168-24-001462-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/704562/000168316824001462/avid_8k.htm
  HTML page:      https://secwatch.observer/filing/0001683168-24-001462

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer