Lyft, Inc. announced its intention to offer $450 million aggregate principal amount of Convertible Senior Notes due 2030 in a private offering. The notes will be senior, unsecured obligations of Lyft.
The offering is only available to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933.
The net proceeds of the offering will be used for capped call transactions, repurchasing Class A common stock, and general corporate purposes.
Offering Details
$450 million aggregate principal amount of Convertible Senior Notes due 2030 will be offered in a private offering.
Use of Proceeds
Net proceeds will cover capped call transactions, repurchasing Class A common stock, and general corporate purposes.
Convertible Notes
Upon conversion, Lyft will pay cash up to the aggregate principal amount of the notes and may pay or deliver cash, shares of Class A common stock, or a combination.
- The private offering will provide Lyft with additional funds for potential acquisitions, strategic transactions, and general corporate purposes.
- The capped call transactions aim to reduce potential dilution to Class A common stock upon conversion of the notes.
- The announcement signals Lyft's strategic financial moves and commitment to strengthening its financial position.
Lyft's private offering of convertible senior notes reflects its proactive approach to raising capital and optimizing financial opportunities. The use of proceeds for strategic transactions and general corporate purposes highlights Lyft's focus on long-term growth and financial stability.