Hello Group Inc. Announces Repurchase of Convertible Notes

Rhea-AI Summary

Hello Group Inc. (NASDAQ: MOMO) has announced it repurchased US$161.8 million of its 1.25% convertible senior notes due 2025 for approximately US$151.6 million plus accrued interest. This reduces the outstanding principal amount to US$544.0 million. The repurchase reflects the company's strategy to manage its debt and improve financial flexibility while enhancing shareholder value.

Positive

• Successful repurchase of US$161.8 million in convertible notes enhances financial flexibility.
• Reduction of outstanding 2025 Notes to US$544.0 million improves balance sheet.

Negative

• None.

BEIJING, June 22, 2022 /PRNewswire/ -- Hello Group Inc. (NASDAQ: MOMO) ("Hello Group" or the "Company"), a leading mobile social and entertainment platform in China, today announced that it has conducted separate, privately negotiated transactions with certain holders of its existing 1.25% convertible senior notes due 2025 (the "2025 Notes") to repurchase US$161.8 million aggregate principal amount of the 2025 Notes for an aggregate repurchase price of (i) approximately US$151.6 million plus (ii) accrued and unpaid interest. Following these repurchases, US$544.0 million aggregate principal amount of the Company's 2025 Notes remains outstanding.

This press release does not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any offer or sale of these securities in any state or jurisdiction in which the offer, solicitation, or sale would be unlawful prior to the registration or qualification thereof under the securities laws of any such state or jurisdiction,

About Hello Group Inc.

We are a leading player in China's online social and entertainment space. Through Momo, Tantan and other properties within our product portfolio, we enable users to discover new relationships, expand their social connections and build meaningful interactions. Momo is a mobile application that connects people and facilitates social interactions based on location, interests and a variety of online recreational activities. Tantan, which was added into our family of applications through acquisition in May 2018, is a leading social and dating application. It is designed to help its users find and establish romantic connections as well as meet interesting people. We also operate a number of other applications to serve different social and entertainment demands from our users.

For investor and media inquiries, please contact:

Hello Group Inc.

Investor Relations
Phone: +86-10-5731-0538
Email: ir@hellogroup.com

Christensen

In China
Mr. Eric Yuan
Phone: +86-10-5900-1548
E-mail: Eyuan@christensenir.com

In US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: lbergkamp@christensenir.com 

View original content:https://www.prnewswire.com/news-releases/hello-group-inc-announces-repurchase-of-convertible-notes-301573606.html

SOURCE Hello Group Inc.

FAQ

How much has Hello Group repurchased in convertible notes?

Hello Group repurchased US$161.8 million of its 1.25% convertible senior notes due 2025.

What is the total remaining amount of the 2025 Notes after the repurchase?

Following the repurchase, the total remaining principal amount of the 2025 Notes is US$544.0 million.

What was the repurchase price for the convertible notes?

The repurchase price for the convertible notes was approximately US$151.6 million plus accrued interest.

Why did Hello Group decide to repurchase its convertible notes?

The repurchase aims to manage debt effectively and enhance financial flexibility for the company.