Insulet ($PODD), which makes the Omnipod insulin management system for treating diabetes, raked in $345 million in a private placement round, garnering $45 million more than forecast when the offering was priced last week, according to an SEC filing.
The Billerica, MA-based devicemaker closed the private placement of $345 million principal amount in convertible senior notes, due in 2021, with an annual interest rate of 1.25%. About $154 million from the sale will go toward buying back $134 million in outstanding 2% convertible senior notes due in 2019 based on individually negotiated transactions.
Funds will also be used to support manufacturing and supply chain operations, and for “general corporate purposes.”
Earlier this week, Insulet announced that the first patient had completed the feasibility study of the Omnipod Horizon Automated Glucose Control System, which is part of the Omnipod Horizon System.
The study, designed to evaluate the use of a personal Model Predictive Control algorithm with the Omnipod platform in 20 adults with Type 1 diabetes, is taking place in a clinical research center setting to gather data that will be used with additional studies to support an FDA submission.
Insulet’s artificial pancreas system incorporates its Omnipod insulin platform along with a DexCom continuous glucose monitor that's controlled by an algorithm it in-licensed from Mode AGC earlier this year.