Ligand Pharmaceuticals falls on planned $400 million convertible bonds offering

Shares of Ligand Pharmaceuticals LGND.O, which invests in commercial and late-stage drug assets, fall 4.4% to $143.45 in early trading

LGND announces $400 million offering of convertible bonds due 2030 in a private placement

Co plans to use a portion of proceeds to pay for convertible bond hedge transactions and up to $30 million to repurchase shares from certain bond purchases

Remaining proceeds may be used for general purposes, including investing in complementary businesses and products

LGND has 19.6 million outstanding shares for nearly $3 billion market cap

All seven brokerages covering the stock rate "buy" or higher; median PT $158.50 - data compiled by LSEG

As of last close, LGND stock up 40% YTD