Loan & DebtJun 16, 2026, 12:10 PM
STMicroelectronics Prices $1.5B Convertible Bond Offering
AI Summary
STMicroelectronics N.V. announced the pricing of a US$1.5 billion offering of senior unsecured convertible bonds, issued in two tranches of US$750 million each, maturing in 2031 and 2033. The 2031 bonds are zero-coupon with a 55% conversion premium, while the 2033 bonds carry a 0.625% annual interest rate and a 57.5% conversion premium. The net proceeds will be used for general corporate purposes, including the early redemption of US$750 million convertible bonds due 2027.
Key Highlights
- STMicroelectronics priced a US$1.5 billion offering of senior unsecured convertible bonds.
- The offering includes two tranches: US$750 million due 2031 and US$750 million due 2033.
- The 2031 Convertible Bonds bear no interest and have an initial conversion price of US$119.9813 (55% premium).
- The 2033 Convertible Bonds bear 0.625% annual interest and have an initial conversion price of US$121.9165 (57.5% premium).
- Net proceeds will be used for general corporate purposes, including early redemption of US$750 million bonds due 2027.
- Settlement is expected around June 23, 2026, with listing on the Frankfurt Stock Exchange within 90 days.
- The company committed to a 90-day lock-up period for shares and related securities.
Price Impact
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