Company: HRTX
Filing Date: 2025-08-12
Form Type: SCHEDULE 13D/A
Source: 0000902664-25-003536
Chunk: 0

Company: HERON THERAPEUTICS, INC. /DE/
Filing Date: 2025-08-12
Form: SCHEDULE 13D/A
Chunk 0
---
 946,100 Shares  at an initial conversion price of $1.50, subject to adjustment as set forth in the Certificate of Designation of Rights, Preferences and Privileges of the shares of Preferred Stock, dated as of August 8, 2025 (the "Certificate of Designation").                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
 In addition, on August 8, 2025, a certain Rubric Fund entered into a Note Purchase Agreement (the "Note Purchase Agreement") with the Issuer, pursuant to which the Issuer issued and sold to such Rubric Fund $35,000,000 aggregate principal amount of convertible senior unsecured promissory notes (the "Notes") for an aggregate purchase price of $33,250,000 (the "Convertible Note Issuance"). The Notes issued in the Convertible Note Issuance provides for the issuance of Notes with (i) a term of five years, (ii) a 5% original issuance discount, (iii) 5% per annum interest payable in cash, (iv) at the election of the Issuer, 7% per annum interest payable in kind for the first twelve months, and (v) a conversion right, subject to Stockholder Approval (as defined below), into Shares at an initial conversion rate of 555.5556 Shares per $1,000 principal amount of Notes, subject to adjustments as provided in the Note Purchase Agreement. Conversions of the Notes can be settled, at the Issuer's election, in cash, Shares or in a combination thereof. If all or any portion of any conversion is to be settled in cash, the amount of cash that the Issuer will be required to deliver with respect to such conversion in shall be the product of (a) the applicable percentage of the conversion rate on the applicable conversion date and (b) the arithmetic average of the daily weighted average prices of the Shares during the ten 10 consecutive trading day period ending on the trading day immediately preceding the applicable conversion date.                                                                                                                                                     
 Each Rubric Fund's ability to convert the Preferred Shares or the Notes is subject to a blocker provision (the "Beneficial Ownership Limitation") that will prohibit any Rubric Fund (together with its affiliates, and any persons acting as a group together with such Rubric Fund or any of its affiliates) from beneficially owning more than 19.99% of the outstanding Shares at any time, determined in accordance with rules promulgated under the Securities Exchange Act of 1934, as amended