ALARIS Medical Prices 9,100,000 Shares of Common Stock and $175 Million of Senior Subordinated Notes Due 2011; Company Sets Terms of Its Equity and Debt Offerings.Business Editors/Health/Medical Writers SAN DIEGO--(BUSINESS WIRE)--June 26, 2003 ALARIS Medical Inc. (AMEX AMEX See: American Stock Exchange :AMI) announced today the pricing of its public offering of 9,100,000 shares of its common stock at $12.50 per share and the pricing of its public offering of $175 million aggregate principal amount of 7 1/4% senior subordinated notes due July 1, 2011. Concurrently with the closing of these stock and bond offerings, the company will also establish a $245 million bank term loan and $30 million revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility. The company intends to use the net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from these offerings and the new bank term loan to repurchase substantially all of the company's existing debt, pay related fees and expenses and for general corporate purposes. The company also will merge its operating subsidiary An operating subsidiary is a business term frequently used within the United States railroad industry. In the case of a railroad, it refers to a company that is a subsidiary but operates with its own identity and rolling stock. , ALARIS Medical Systems Inc., with and into ALARIS Medical, which will survive the merger and be renamed "ALARIS Medical Systems Inc." The joint book-running managers of the equity offering are Bear, Stearns & Co. Inc., CIBC World Markets CIBC World Markets is the investment banking division of the Canadian Imperial Bank of Commerce. It helps governments, large companies, and other large institutions obtain capital and credit and is a primary dealer in U.S. Treasury securities. Corp. and UBS UBS Union Bank of Switzerland UBS United Bible Societies UBS United Blood Services UBS United Buying Service UBS Used Bookstore UBS University Business Services UBS Universal Building Society (UK) UBS Ulaanbaatar Broadcasting System Securities LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control . The joint book-running managers of the debt offering are Bear, Stearns & Co. Inc., Citigroup Global Markets Inc. and UBS Securities LLC, with co-managers CIBC World Markets Corp. and Jefferies & Company. This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities. Offers, solicitations and sales may be made only by means of the prospectus contained in the company's shelf registration statement, together with a prospectus supplement covering such securities. About ALARIS Medical Inc. and ALARIS Medical Systems Inc. ALARIS Medical Inc., through its wholly owned operating company operating company A business that engages in transactions with outsiders. , ALARIS Medical Systems Inc., develops practical solutions for medication safety. The company designs, manufactures and markets intravenous (IV) medication delivery and infusion therapy devices, needle-free disposables and related monitoring equipment in the United States and internationally. ALARIS Medical's proprietary Guardrails(R) Safety Software, its other "smart" technologies and its "smart" services help to reduce the risks and costs of medication errors, help to safeguard patients and clinicians and also gather and record clinical information for review, analysis and transcription. The company provides its products, professional and technical support and training services to over 5,000 hospital and health care systems, as well as alternative care sites, in more than 120 countries through its direct sales force and distributors. With headquarters in San Diego, ALARIS Medical employs approximately 2,900 people worldwide. Additional information on ALARIS Medical can be found at http://www.alarismed.com. This news release contains forward-looking statements as defined in the Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Persons reading this release are cautioned that such forward-looking statements involve risks and uncertainties, including the significant leverage to which the company is subject. Such risk factors are detailed in the Securities and Exchange Commission filings of ALARIS Medical, Inc. and ALARIS Medical Systems Inc., including Forms 10-K for the year ended Dec. 31, 2002, and other filings. The company assumes no obligation to update any forward-looking statements as a result of new information or future events or developments. |
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