Loan & DebtJun 16, 2026, 04:02 PM
STMicroelectronics Prices US$1.5B Dual-Tranche Convertible Bond Offering
AI Summary
STMicroelectronics N.V. announced the pricing of a US$1.5 billion dual-tranche offering of senior unsecured bonds convertible into new or existing ordinary shares. The offering consists of two US$750 million tranches, maturing in 5 and 7 years, with interest rates of 0% and 0.625% respectively. The net proceeds will be used for general corporate purposes, including the early redemption of US$750 million Zero Coupon Convertible Bonds due 2027.
Key Highlights
- STMicroelectronics priced a US$1.5 billion dual-tranche offering of New Convertible Bonds.
- The offering includes US$750 million in 2031 Convertible Bonds with a 5-year maturity and 0% interest.
- The offering includes US$750 million in 2033 Convertible Bonds with a 7-year maturity and 0.625% annual interest.
- Initial conversion price for 2031 bonds is US$119.9813, representing a 55% premium.
- Initial conversion price for 2033 bonds is US$121.9165, representing a 57.5% premium.
- Proceeds will be used for general corporate purposes, including early redemption of US$750 million convertible bonds due 2027.
- Settlement of the New Convertible Bonds is expected on or about June 23rd, 2026.
- The Company committed to a 90-day lock-up period for Shares and related securities.
Price Impact
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