Published on May 11, 2012 at 12:55 AM
SXC Health Solutions Corp. ("SXC") (NASDAQ: SXCI, TSX: SXC) announced today the pricing of its previously announced public offering of common shares. Under the offering, SXC will sell 5,200,000 of its common shares at a price to the public of $90.60 per share. The offering was increased from the previously announced offering size of 4,340,000 common shares. In connection with the offering, SXC has granted the underwriters a 30-day option to purchase up to an additional 780,000 of its common shares at the public offering price to cover over-allotments, if any. The offering is expected to close on May 16, 2012, subject to customary closing conditions.
SXC expects to receive net proceeds from the offering of approximately $450.8 million (or approximately $518.6 million if the underwriters exercise their over-allotment option in full), after deducting the underwriting discounts and commissions and estimated offering expenses. SXC intends to use the net proceeds from the offering to pay a portion of the cash component of the merger consideration for the previously announced proposed merger with Catalyst Health Solutions, Inc. and to pay certain related fees and expenses, or for general corporate purposes. If the proposed merger is not completed, SXC expects to use the net proceeds from the offering for general corporate purposes.
SOURCE SXC Health Solutions Corp.