Fastly Announces Issuance of 7.75% Convertible Senior Notes due 2028 and Repurchases of a Portion of its Existing 0.00% Convertible Senior Notes due 2026
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Fastly, Inc. announced the issuance of $150 million in 7.75% convertible senior notes due 2028 and plans to repurchase a portion of its existing 0.00% convertible senior notes due 2026.
December 03, 2024 | 1:45 am
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NEUTRAL IMPACT
Fastly is issuing $150 million in 7.75% convertible senior notes due 2028 and repurchasing part of its 0.00% notes due 2026. This move could impact Fastly's debt structure and interest expenses.
The issuance of new convertible notes and repurchase of existing ones will affect Fastly's debt profile. The new notes carry a 7.75% interest rate, which is higher than the 0.00% rate of the notes being repurchased, potentially increasing interest expenses. However, the repurchase could also be seen as a strategic move to manage debt maturity and interest obligations.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100