Super Micro Computer Announces Pricing Of Private Offering Of Convertible Senior Notes Due 2029

(RTTNews) - Super Micro Computer, Inc. (SMCI) announced the pricing of $1.5 billion aggregate principal amount of convertible senior notes due 2029. The Convertible Notes are being offered and sold to qualified institutional buyers. The company also granted a 13-day option to the initial purchasers to purchase up to an additional $225.0 million aggregate principal amount of the Notes. Also, the company entered into privately negotiated capped call transactions with certain of the initial purchasers or their affiliates and other financial institutions.

The company will receive net proceeds from the offering of approximately $1.47 billion. The company expects to use $123.6 million of the proceeds of the offering to fund the cost of entering into the capped call transactions. The company plans to use the remainder of the proceeds for general corporate purposes.