Warburg Pincus to Purchase $175 Million in Nuance Common Stock
finance.yahoo.com
Thursday January 15, 2009, 8:00 am EST
BURLINGTON, Mass.--(BUSINESS WIRE)--Nuance Communications, Inc. (NASDAQ: NUAN) today announced that Warburg Pincus, the global private equity firm, has agreed to purchase $175 million of Nuance common stock, the proceeds of which will be used in conjunction with general corporate purposes and potential merger and acquisition activity.
Warburg Pincus, a leading investor in technology companies, has agreed to purchase 17,395,626 shares of Nuance common stock at a purchase price of $10.06 per share, for an aggregate investment of $175 million. In addition, Warburg Pincus will acquire a warrant to purchase 3,862,422 million shares of Nuance common stock upon the closing of the investment. The warrant has an exercise price of $11.57 per share and a four-year term. Warburg Pincus has also agreed not to sell any shares of Nuance common stock for a period of six months from the closing of the transaction, expected in early February 2009.
“Warburg Pincus has enjoyed a long and rewarding relationship with Nuance and we’re pleased with the opportunity to invest further in support of the company,” said Pat Hackett, managing director, Warburg Pincus. “Nuance has a track record of leadership and presents a high-quality investment opportunity in speech technologies and applications, markets that are demonstrating long-term growth.” |
