Avid Bioservices, Inc announced a private placement of Convertible Senior Unsecured Notes due 2029 for a gross proceeds of $160 million on March 6, 2024. The notes are offered to qualified institutional buyers. The company expects to price the Offering before open of market on March 7, 2024.

The 2029 Notes will represent senior unsecured obligations of the company and will accrue interest payable semiannually in arrears. Upon conversion, the company will pay or deliver, as the case may be, cash, shares of its common stock or a combination of cash and shares of its common stock, at its election. The interest rate, initial conversion rate and other terms of the notes will be determined at the time of pricing of the Offering.