Booking Holdings Inc. Convertible Senior Notes due September 2021 to be Settled in Cash

Rhea-AI Summary

Booking Holdings Inc. (NASDAQ: BKNG) announced on August 9, 2021, that it will settle its 0.90% Convertible Senior Notes due in September 2021 completely in cash. This decision means that in any conversion of these notes on or after June 15, 2021, the company will pay cash instead of providing shares to bondholders. This move emphasizes the company's liquidity strategy while managing its capital structure.

Positive

• The decision to settle in cash indicates strong liquidity management.
• Avoiding share dilution by not issuing shares during conversion.

Negative

• This may limit the potential upside for bondholders who anticipated share conversion.

NORWALK, Conn., Aug. 9, 2021 /PRNewswire/ -- Booking Holdings Inc. (NASDAQ: BKNG) announced today that, in connection with any conversion of its outstanding 0.90% Convertible Senior Notes due September 2021 on or after June 15, 2021, it has elected to pay cash in lieu of 100% of the deliverable shares otherwise issuable upon such conversion (i.e., the "Cash Percentage" is 100%).

About Booking Holdings Inc.

Booking Holdings (NASDAQ: BKNG) is the world's leading provider of online travel and related services, provided to consumers and local partners in more than 220 countries and territories through six primary consumer-facing brands: Booking.com, Priceline, Agoda, Rentalcars.com, KAYAK and OpenTable. The mission of Booking Holdings is to make it easier for everyone to experience the world. For more information, visit BookingHoldings.com and follow us on Twitter @BookingHoldings.

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SOURCE Booking Holdings

FAQ

What did Booking Holdings announce on August 9, 2021?

Booking Holdings announced it will pay cash instead of shares for the conversion of its 0.90% Convertible Senior Notes due September 2021.

How will Booking Holdings settle its Convertible Senior Notes?

The company will settle the notes in cash, with a 100% cash percentage upon conversion.

What is the impact of Booking Holdings' decision on bondholders?

Bondholders will not receive shares, which may limit their potential profits.

What is the significance of the cash settlement for Booking Holdings?

It reflects the company's strong liquidity position and avoids share dilution.