Guess? Inks Exchange & Subscription Agreements To Extend Maturity Of Significant Portion Of Debt To 2028

Comments
Loading...
  • Guess? Inc GES has entered into separate, privately negotiated exchange and subscription agreements with holders of its 2.00% convertible senior notes due 2024 and other investors.
  • Under the agreement, the company will exchange about $184.9 million of the existing convertible notes for about $161.4 million of new 3.75% convertible senior notes due 2028.
  • The company will also issue new convertible notes in a private placement for the issuance in the Transactions of $275.0 million of new convertible notes.
  • The transactions are expected to settle on or about April 17, 2023.
  • GES intends to use the net proceeds of the private placement of the new convertible senior notes to retire approximately $185 million of the existing convertible senior notes due in 2024, to repurchase $43 million of its common stock, enter into the bond hedge and warrant transactions and to fund general corporate purposes.
  • On completion of the transactions, the aggregate principal amount of the existing convertible notes outstanding will be about $115.0 million and new convertible notes will be $275.0 million.
  • Price Action: GES shares are trading lower by 1.11% at $18.79 in premarket on the last check Thursday.
Overview Rating:
Speculative
37.5%
Technicals Analysis
66
0100
Financials Analysis
20
0100
Overview
Market News and Data brought to you by Benzinga APIs

Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!