Enzo Biochem Inc. announced Monday that holders of $28.2million of the company's 9 percent convertible subordinateddebentures due March 15, 2001, have tendered them forconversion to 5.6 million shares of Enzo common stock.
The company's stock (AMEX:ENZ) picked up 13 cents to $5.63on the news. The company had defaulted on the $30 millionworth of bonds.
Ninety-four percent of bondholders accepted an offer toconvert their bonds during January at $5 per share rather thanthe original $12.75 price. Enzo now has about 17 million sharesoutstanding.
The Farmingdale, N.Y., company said the debt reduction wouldsave $2.5 million annually in interest expense and increase itsnet worth by $32.5 million. Enzo markets monoclonal antibody-based tests for the research market, and is developing anti-sense technology to treat AIDS, herpes and human papillomavirus.
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