conversion price of $23.51 per shareannounced the closing of its offering of $181.5 million aggregate principal amount of 1.875% Convertible Senior Notes due 2028 to qualified institutional buyers in accordance with Rule 144A under the Securities Act of 1933. Stillwater Mining recently announced the pricing of $165 million aggregate principal amount of the notes subsequent to which, in connection with the closing, the initial purchaser exercised in full its option to acquire an additional $16.5 million of the notes to cover over-allotments.
If certain conditions are met, the notes will be convertible into shares of Stillwater Mining common stock. The notes will pay interest semiannually at a rate of 1.875% per annum. The notes will be convertible at an initial conversion price of $23.51 per share, which is equal to a conversion rate of approximately 42.5 shares of common stock per $1,000 principal amount of notes.
In connection with the offering, MMC Norilsk Nickel and its subsidiaries purchased $80 million principal amount of the $181.5 million aggregate principal amount.
The net proceeds to Stillwater Mining from the offering were approximately $176.6 million. Stillwater Mining intends to use the proceeds from the offering to repay indebtedness under its outstanding credit facility and for general corporate purposes.
Who is going to convert if the price is under $23? and note the interest...