Business
Peloton refinances debt and secures access to $1.4 billion credit
The fitness equipment manufacturer plans to repurchase convertible bonds valued at approximately 800 million dollars.
The manufacturer of exercise equipment Peloton Interactive announced on Monday that it has refinanced its debt and secured access to almost 1.4 billion US dollars in credit.
The Company Plans to Place $275 Million in Convertible Senior Notes Due 2029 in a Private Offering. Additionally, Peloton Will Enter into a Five-year Term Loan Facility of $1 Billion as well as a Five-year Revolving Credit Facility of $100 Million.
Peloton intends to use the proceeds along with existing cash to repurchase approximately $800 million in convertible senior notes due 2026 and to refinance existing debt.
The company also plans to offer buyers of the bonds a 13-day option to purchase up to an additional $41.3 million of the total nominal amount of the bonds.
