LeMaitre Vascular, Inc. Announces Proposed $150 Million Offering of Convertible Senior Notes Due 2030

LeMaitre Vascular plans to offer $150 million in Convertible Senior Notes due 2030 to qualified institutional buyers.

Quiver AI Summary

LeMaitre Vascular, Inc. announced its plan to offer up to $150 million in Convertible Senior Notes due 2030 in a private placement aimed at qualified institutional buyers. The company may also grant purchasers an option for an additional $22.5 million in notes. These senior, unsecured notes will accrue interest and are subject to conversion into cash, shares of common stock, or a combination thereof. LeMaitre intends to use the proceeds for working capital and potential acquisitions. The offering is not registered under the Securities Act, and the sale is restricted to qualified buyers. Forward-looking statements regarding the offering are included, but they are subject to various risks and uncertainties.

Potential Positives

• LeMaitre Vascular plans to offer $150,000,000 of Convertible Senior Notes, which could provide significant funding for working capital and general purposes.
• The offering includes an option for initial purchasers to buy an additional $22,500,000 in notes, indicating strong interest and potentially increasing total capital raised.
• The notes will mature in 2030, providing a long-term financing solution which can support sustained growth and investment opportunities.
• The anticipated use of proceeds includes possible acquisitions or investments in complementary companies or technologies, which could enhance LeMaitre's market position and product offerings.

Potential Negatives

• LeMaitre is seeking to raise a significant amount of debt ($150,000,000) through the issuance of convertible senior notes, which could indicate financial instability or the need for capital due to potential operational or liquidity challenges.
• The offering of convertible notes may dilute existing shareholders' equity in the future, depending on the conversion terms and the market performance of the company's stock.
• The reliance on market conditions for the completion of the offering introduces uncertainty, which could reflect negatively on investor confidence in LeMaitre's financial health and strategic direction.

FAQ

What are the Convertible Senior Notes being offered by LeMaitre Vascular?

LeMaitre Vascular is offering $150,000,000 in Convertible Senior Notes due 2030 to qualified institutional buyers.

Who can purchase the notes in this offering?

The notes will only be sold to persons reasonably believed to be qualified institutional buyers under Rule 144A of the Securities Act.

What is the purpose of the offering's net proceeds?

LeMaitre intends to use the net proceeds for working capital and general purposes, including potential acquisitions and investments.

When will the notes mature?

The Convertible Senior Notes will mature on February 1, 2030, unless repurchased, redeemed, or converted earlier.

What rights do noteholders have with their Convertible Senior Notes?

Noteholders may convert their notes into cash or shares of common stock under certain circumstances, and may also require repurchase during a fundamental change.

Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.

$LMAT Insider Trading Activity

$LMAT insiders have traded $LMAT stock on the open market 9 times in the past 6 months. Of those trades, 0 have been purchases and 9 have been sales.

Here’s a breakdown of recent trading of $LMAT stock by insiders over the last 6 months:

• LAWRENCE J JASINSKI sold 198 shares.
• BRIDGET A ROSS sold 3,750 shares.
• MARTHA SHADAN has traded it 2 times. They made 0 purchases and 2 sales, selling 1,466 shares.
• DAVID B ROBERTS (President and Director) sold 3,063 shares.
• TRENT G KAMKE (Senior V. P., Operations) sold 182 shares.
• GEORGE W LEMAITRE (Chairman and CEO) has traded it 3 times. They made 0 purchases and 3 sales, selling 97,378 shares.

To track insider transactions, check out Quiver Quantitative's insider trading dashboard.

$LMAT Hedge Fund Activity

We have seen 146 institutional investors add shares of $LMAT stock to their portfolio, and 133 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

• CRAMER ROSENTHAL MCGLYNN LLC removed 249,029 shares (-100.0%) from their portfolio in Q3 2024
• BLACKROCK, INC. added 200,027 shares (+5.8%) to their portfolio in Q3 2024
• KAYNE ANDERSON RUDNICK INVESTMENT MANAGEMENT LLC added 194,540 shares (+inf%) to their portfolio in Q3 2024
• RANGER INVESTMENT MANAGEMENT, L.P. removed 128,458 shares (-15.8%) from their portfolio in Q3 2024
• KENNEDY CAPITAL MANAGEMENT LLC removed 73,289 shares (-37.4%) from their portfolio in Q3 2024
• DIMENSIONAL FUND ADVISORS LP removed 65,548 shares (-10.2%) from their portfolio in Q3 2024
• GOLDMAN SACHS GROUP INC added 55,013 shares (+78.5%) to their portfolio in Q3 2024

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.

Full Release

BOSTON, Dec. 16, 2024 (GLOBE NEWSWIRE) -- LeMaitre Vascular, Inc. (“LeMaitre”) (Nasdaq: LMAT) today announced its intention to offer, subject to market and other conditions, $150,000,000 aggregate principal amount of Convertible Senior Notes due 2030 (the “notes”) in a private offering (the “offering”) to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). LeMaitre also expects to grant the initial purchasers of the notes an option to purchase, for settlement within a period of 13 days from, and including, the date the notes are first issued, up to an additional $22,500,000 aggregate principal amount of notes.

The notes will be senior, unsecured obligations of LeMaitre, will accrue interest payable semi-annually in arrears, and will mature on February 1, 2030, unless earlier repurchased, redeemed or converted. Noteholders will have the right to convert their notes in certain circumstances and during specified periods into cash, shares of LeMaitre’s common stock, or a combination of cash and shares of LeMaitre’s common stock, at LeMaitre’s election. The notes will be redeemable, in whole or in part (subject to certain limitations on partial redemptions), for cash at LeMaitre’s option at any time, and from time to time, on or after February 5, 2028 and on or before the 40th scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of LeMaitre’s common stock exceeds 130% of the conversion price for a specified period of time and certain other conditions are satisfied. The redemption price will be equal to the principal amount of the notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the redemption date. If certain corporate events that constitute a “fundamental change” occur, then noteholders may require LeMaitre to repurchase their notes for cash. The repurchase price will be equal to the principal amount of the notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the applicable repurchase date. The final terms of the notes, including the initial conversion price, interest rate and certain other terms of the notes, will be determined at the time of pricing.

LeMaitre intends to use the net proceeds from the offering, including the purchase of additional notes, for working capital and other general purposes, which may include acquisitions of or investments in complementary companies, product lines, products or technologies.

The notes will be sold only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act. The offer and sale of the notes and any shares of common stock issuable upon conversion of the notes have not been, and will not be, registered under the Securities Act or any other securities laws, and unless so registered, the notes and any such shares cannot be offered or sold except pursuant to an applicable exemption from, or in a transaction not subject to, such registration requirements of the Securities Act and any other applicable securities laws. This press release does not constitute an offer to sell, or the solicitation of an offer to buy, the notes or any shares of common stock issuable upon conversion of the notes, nor will there be any offer or sale of the notes or any such shares, in any state or other jurisdiction in which such offer, sale or solicitation would be unlawful.

About LeMaitre

LeMaitre (Nasdaq: LMAT) is a provider of devices, implants and services for the treatment of peripheral vascular disease, a condition that affects more than 200 million people worldwide. LeMaitre develops, manufactures and markets disposable and implantable vascular devices to address the needs of its core customer, the vascular surgeon.

Cautionary Note Regarding Forward-Looking Statements

This press release includes forward-looking statements, including, among other things, statements regarding the completion, timing and size of the proposed offering, the terms of the notes and the expected use of proceeds. In addition, other written or oral statements that constitute forward-looking statements may be made by LeMaitre or on its behalf. Words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “could,” “estimate,” “may,” “target,” “project,” “is intended to,” “project,” “guidance,” “likely,” “usually,” or variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements represent the current expectations of LeMaitre regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Among those risks and uncertainties are (i) the risk that the offering will not be consummated, (ii) changes as a result of market conditions, including market interest rates, (iii) fluctuations in the trading price and volatility of LeMaitre’s common stock, (iv) unanticipated uses of capital, (v) the impact of general economic, industry or political conditions in the United States or internationally, and (vi) risks relating to LeMaitre’s business, including those described in LeMaitre’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and other filings with the U.S. Securities and Exchange Commission. The forward-looking statements included in this press release speak only as of the date of this press release, and LeMaitre does not undertake to update the statements included in this press release for subsequent developments, except as may be required by law.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.