Halozyme Therapeutics, Inc. announced on September 16, 2026, that it intends to offer $1.05 billion aggregate principal amount of convertible senior notes due 2033. The offering is subject to market conditions and other factors. The company also expects to grant initial purchasers a 13-day option to purchase an additional $150 million in principal amount of the notes.
The notes are to be offered and sold only to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933. They will be senior, unsecured obligations of the company and will accrue interest payable semi-annually in arrears. The notes are scheduled to mature on October 1, 2033, unless earlier redeemed, repurchased, or converted. Prior to April 1, 2033, conversion will be subject to specific conditions and periods, after which the notes will be convertible at any time prior to maturity.
Halozyme intends to use a portion of the net proceeds to enter into capped call transactions, which are designed to reduce potential dilution and offset cash payments upon conversion. The company also plans to use proceeds to repurchase its outstanding 0.25% convertible senior notes due 2027 and 1.00% convertible senior notes due 2028 through privately negotiated transactions. The remainder of the net proceeds is expected to be used for general corporate purposes, including working capital, capital expenditures, potential acquisitions, and strategic transactions.
