Loan & DebtJun 3, 2026, 08:01 AM
Western Digital Exchanges $858.4M Convertible Notes for Cash & Stock
AI Summary
Western Digital Corporation has entered into privately negotiated exchange agreements with certain holders of its 3.00% Convertible Senior Notes due 2028. The company will exchange approximately $858.4 million in principal amount of these notes for a combination of cash and shares of its common stock. The cash component covers the principal and accrued interest, while the stock component covers the remaining value based on a volume-weighted average price. These transactions are anticipated to close on or after June 5, 2026, subject to customary closing conditions.
Key Highlights
- Western Digital entered privately negotiated exchange agreements for its 3.00% Convertible Senior Notes due 2028.
- Approximately $858.4 million aggregate principal amount of notes will be exchanged.
- Holders will receive cash equal to the principal amount plus accrued interest.
- Holders will also receive common stock based on a two-day volume-weighted average price on June 3-4, 2026.
- The transactions are expected to close on or after June 5, 2026.
- The issuance of common stock relies on an exemption from registration requirements under Section 4(a)(2) of the Securities Act of 1933.
Price Impact
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