Financings: GeoPharma Whittles Away Convertible Debt

(Comment on this article at http://www.financialwire.net/2010/04/26/financings-geopharma-whittles-away-convertible-debt/)

April 26, 2010 (FinancialWire) -- GeoPharma, Inc. GORX said that since December 31, 2009, it has reduced its 12% convertible debt owed to Whitebox Pharmaceutical Growth Fund by approximately $1.7 million gross, or approximately $1.3 million net after the effect of the current quarterly principal accretion of interest.

As of December 31, 2009, the company owed Whitebox approximately $15.9 million and since that time, Whitebox has elected through common stock conversions, to convert $1.7 million of principal outstanding in exchange for the company's $0.01 par value common stock. Whitebox has made several written conversion requests since December 31, 2009 in increments ranging from $100,000 - $250,000 as applied directly to the debt's outstanding principal and as such, the company has issued an approximate 5,160,000 common shares cumulatively since December 31, 2009 or 19.3% of the 26,695,735 total shares currently outstanding.

The company's executive management agreed effective January 1, 2009 to receive common stock in lieu of certain portions of their cash-based salaried compensation. In addition, the company's board of directors also agreed to accept common stock in lieu of all of their cash-based compensation. All of this compensation was also included within accrued current liabilities as of December 31, 2009.

GeoPharma, Inc. is a bio/pharma company with a diversified business model participating in pharmaceuticals, contract manufacturing, and medical devices.

Streaming Research for all companies mentioned in FinancialWire(tm) news is available via the Investrend Research Syndicate, courtesy of Stock Smart (at http://investrend.stocksmart.com/ss/html/hpcompany.html).

FinancialWire(tm) is committed to serving the financial community through true journalism and providing relevant resources to investors. Standards-based, independent equity research on numerous public companies is available through the Investrend Research Syndicate (http://www.investrend.com/reports) written by FIRST Research Consortium (http://www.investrend.com/FIRST) member-providers. Free annual reports and company filings for companies mentioned in the news are available through the Investrend Information Syndicate (at http://investrend.ar.wilink.com/?level=279). FinancialWire(tm), in cooperation with the Investrend Broadcast Syndicate, also provides complete, daily conference call and webcast schedules as a service to shareholders and investors via the FirstAlert(tm) Network's "FirstAlert(tm) Daily" (at http://www.financialwire.net/news-alerts/).

FinancialWire(tm) is a fully independent, proprietary news wire service. FinancialWire(tm) is not a press release service, and receives no compensation for its news, opinions or distributions. Further disclosure is at the FinancialWire(tm) website (http://www.financialwire.net/disclosures.php). Contact FinancialWire(tm) directly via inquiries@financialwire.net.

[frlylrf] [fnncngj] [biomedphrm]

http://www.financialwire.net
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: Consumer StaplesPersonal Products
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!