Avantor® Announces Conversion of Mandatory Convertible Preferred Stock

Rhea-AI Summary

Avantor, Inc. (NYSE: AVTR) announced the automatic conversion of its 6.250% Series A Mandatory Convertible Preferred Stock into common stock on May 16, 2022. Each share of Preferred Stock will convert into 3.0395 shares of common stock, with cash paid for any fractional shares. Holders of record as of May 1, 2022 will also receive a final quarterly cash dividend of $0.78 per share payable on the conversion date.

Positive

• Preferred Stock conversion enhances common stock liquidity.
• Quarterly dividend payment supports shareholder returns.

Negative

• Potential dilution of existing common stock due to conversion.

RADNOR, Pa., May 13, 2022 /PRNewswire/ -- Avantor, Inc. (NYSE: AVTR), a leading global provider of mission-critical products and services to customers in the life sciences, advanced technologies and applied materials industries, announced today that its 6.250% Series A Mandatory Convertible Preferred Stock (the "Preferred Stock"), will automatically convert into shares of the Company's common stock on May 16, 2022 (the "conversion date"). The conversion rate for each share of Preferred Stock will be 3.0395 shares of the Company's common stock. Cash will be paid in lieu of fractional shares of common stock. 

As previously announced, holders of record at the close of business on May 1, 2022, will separately receive a final quarterly cash dividend of $0.78 per share on the Preferred Stock, payable on the conversion date.

About Avantor
Avantor^®, a Fortune 500 company, is a leading global provider of mission-critical products and services to customers in the biopharma, healthcare, education & government, and advanced technologies & applied materials industries. Our portfolio is used in virtually every stage of the most important research, development and production activities in the industries we serve. Our global footprint enables us to serve more than 225,000 customer locations and gives us extensive access to research laboratories and scientists in more than 180 countries. We set science in motion to create a better world. For more information, visit avantorsciences.com.

Forward-Looking and Cautionary Statements 
This press release contains, and oral statements made from time to time by Avantor's representatives may contain, "forward-looking statements." Forward-looking statements include statements regarding the proposed public offerings and other statements identified by words such as "could," "may," "might," "will," "likely," "anticipates," "intends," "plans," "seeks," "believes," "estimates," "expects," "continues," "projects" and similar references to future periods, or by the inclusion of forecasts or projections. Forward-looking statements are based on Avantor's current expectations and assumptions regarding capital market conditions, Avantor's business, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, Avantor's actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include the scale and scope of the COVID-19 pandemic; regional, national or global political, economic, business, competitive, market and regulatory conditions; Avantor's ability to anticipate consumer demand; changes in consumer confidence and spending; Avantor's competitive environment and other factors set forth under "Risk Factors" in Avantor's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. Any forward-looking statement made in this press release speaks only as of the date on which it is made. Avantor undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

Global Media Contact
Allison Hosak
Senior Vice President, Global Communications and Brand
Avantor
+1 908-329-7281
Allison.Hosak@avantorsciences.com

Investor Relations Contact
Christina (CJ) Jones
Vice President, Investor Relations
Avantor
+1 805-617-5297
ChristinaJones@avantorsciences.com

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SOURCE Avantor and Financial News

FAQ

When will Avantor's Preferred Stock convert to common stock?

Avantor's Preferred Stock will convert into common stock on May 16, 2022.

What is the conversion rate for Avantor's Preferred Stock?

The conversion rate is 3.0395 shares of common stock for each share of Preferred Stock.

What dividend will holders of Avantor's Preferred Stock receive?

Holders will receive a final quarterly cash dividend of $0.78 per share.

Who is impacted by the Preferred Stock conversion at Avantor?

Holders of record as of May 1, 2022, will be affected by the conversion and dividend.