By Rebecca Melvin
New York, Oct. 26 – Weibo Corp. priced an upsized $800 million of five-year convertible senior notes at par with a 1.25% coupon and 47.5% initial conversion premium, according to a syndicate source on Thursday.
The offering was initially talked at $700 million in size. There is also a $100 million greenshoe, which was not upsized.
Goldman Sachs (Asia) LLC and Credit Suisse Securities (USA) LLC acted as joint bookrunners for the Rule 144A and Regulation S notes, which priced at the tight end of talk for a 1.25% to 1.75% coupon and 42.5% to 47.5% premium.
The notes are freely convertible into Weibo's American Depository Shares and can be called only in the event of certain tax law changes.
Proceeds are for general corporate purposes, including working capital and potential acquisitions.
Based in Beijing, Weibo operates a Chinese-language social media platform.
| Issuer: | Weibo Corp.
|
| Issue: | Convertible senior notes
|
| Amount: | $800 million, upsized from $700 million
|
| Greenshoe: | $100 million
|
| Maturity: | Nov. 15, 2022
|
| Bookrunners: | Goldman Sachs (Asia) LLC and Credit Suisse Securities (USA) LLC
|
| Coupon: | 1.25%
|
| Price: | Par
|
| Yield: | 1.25%
|
| Conversion premium: | 47.5%
|
| Conversion price: | $133.27
|
| Conversion ratio: | 7.5038 shares
|
| Call option: | Non-callable, except in the event of certain tax law changes
|
| Price talk: | 1.25%-1.75%, up 42.5%-47.5%
|
| Pricing date: | Oct. 25
|
| Settlement date: | Oct. 30
|
| Stock symbol: | Nasdaq: ADS: WB
|
| Stock reference price: | $90.35 at close Oct. 25
|
| Market capitalization: | $19.75 billion
|
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