Alphatec drops on planned $300 mln convertible debt offering

Shares of medical device firm Alphatec Holdings ATEC.O down 11% at $10.92 amid broader sell-off in equities early Tues as co looks to raise capital

Shares on track for biggest one-day pct decline since Sept 9

Spinal surgery imaging system provider late Mon said it's offering privately $300 mln 5-yr convertible bonds (CBs)

Co plans to use portion of net proceeds to pay for capped calls, to repurchase portion of outstanding 0.75% CBs due 2026, remainder for general purposes

Carlsbad, California-based firm has ~144.15 mln shares outstanding, giving it ~$1.6 bln market cap, per LSEG data

On Thurs, ATEC shares rose 9.6% to $12.12 after co reported Q4 rev of $177 mln, up 28% y/y, topping consensus est. of ~$172.5 mln, and reaffirmed 2025 rev guidance of ~$732 mln

With move on the session, stock up ~19% YTD

Avg rating among 12 analysts covering ATEC is "buy" and median PT is $18.92