Why Cerence (CRNC) Stock Is Falling During Thursday's Session
Portfolio Pulse from Henry Khederian
Cerence Inc (CRNC) shares are down 12.3% after pricing a $190 million offering of convertible senior notes due 2028. The company estimates net proceeds of approximately $184.1 million, which will be used for various purposes including repurchasing its 2025 notes and repayment of its term loan facility.
June 22, 2023 | 6:05 pm
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Cerence's stock price is down 12.3% after announcing a $190 million convertible senior notes offering. The proceeds will be used for repurchasing 2025 notes and repaying term loan facility.
The stock price is falling due to the announcement of the convertible senior notes offering, which may dilute existing shareholders' ownership. Additionally, the use of proceeds for repurchasing 2025 notes and repaying term loan facility may indicate the company's focus on improving its financial position.
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