Company: HRTX
Filing Date: 2025-09-09
Form Type: S-3
Source: 0000950170-25-113830
Chunk: 41

Company: HERON THERAPEUTICS, INC. /DE/
Filing Date: 2025-09-09
Form: S-3
Chunk 41
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 the number of shares held by each such holder, treating for this purpose all such securities as if they had been converted into Common Stock.

Series B Preferred Stock

In connection with the Board’s adoption of the Plan (as defined below), holders of the Rights (as defined below) are entitled to purchase from the Company one one-thousandth of a share of Series B Preferred Stock, par value $0.01 per share (the “Series B Preferred Stock”), at a price of $7.00 per one one-thousandth of a share of Series B Preferred Stock, subject to certain anti-dilution adjustments. A total of 400,000 shares of Series B Preferred Stock are reserved for issuance upon exercise of the Rights.

Shares of Series B Preferred Stock purchasable upon exercise of the Rights will not be redeemable. Each share of Series B Preferred Stock will be entitled, when, as and if declared, to a minimum preferential quarterly dividend payment of the greater of (a) $1.00 per share, and (b) an amount equal to 1,000 times the dividend declared per share of Common Stock. In the event of liquidation, dissolution or winding up of the Company, the holders of the Series B Preferred Stock will be entitled to a preferential payment equal to $1,000 per share of Series B Preferred Stock, plus an amount equal to accrued and unpaid dividends and distributions thereon, whether or not declared, to the date of such payment, before any distribution is made on securities ranking junior to the Series B Preferred Stock. Each share of Series B Preferred Stock will have 1,000 votes, voting together with the Common Stock. Finally, in the event of any merger, consolidation or other transaction in which outstanding shares of Common Stock are converted or exchanged, each share of Series B Preferred Stock will be entitled to receive 1,000 times the amount received per share of Common Stock. These rights are protected by customary anti-dilution provisions. Because of the nature of the Series B Preferred Stock’s dividend, liquidation and voting rights, the value of the one one-thousandth interest in a share of Series B Preferred Stock purchasable upon exercise of each Right should approximate the value of one share of Common Stock.

Summary of Private Placement and Convertible Note Issuance

Convertible Note Issuance

On August 8, 2025, we entered into the Note Purchase Agreement with Rubric, pursuant to which we issued and sold the Notes to a fund affiliated with Rubric