Wayfair Prices Upsized Offering of $800 Million Senior Secured Notes
Wayfair Inc. (NYSE: W) has announced the pricing of a $800 million private offering of senior secured notes due 2029, issued by its subsidiary Wayfair The offering size was increased from the previously announced $700 million. The notes, maturing on October 31, 2029, will bear an interest rate of 7.250%. The offering is expected to close on October 8, 2024, subject to customary conditions.
The company plans to use the net proceeds, along with cash on hand, to repay certain existing convertible senior notes and for general corporate purposes. The notes will be guaranteed by Wayfair and certain domestic subsidiaries, secured by first-priority liens on assets that also secure Wayfair's senior secured revolving credit facility.
The notes are being offered only to qualified institutional buyers and non-U.S. persons, in accordance with Rule 144A and Regulation S under the Securities Act, respectively. They have not been registered under the Securities Act or any other jurisdiction's securities laws.
Wayfair Inc. (NYSE: W) ha annunciato il prezzo di un
L'azienda intende utilizzare i proventi netti, insieme alla liquidità disponibile, per rimborsare alcune note senior convertibili esistenti e per scopi aziendali generali. Le note saranno garantite da Wayfair e da alcune sussidiarie nazionali, assicurate da privilegi di primo grado su beni che garantiscono anche la linea di credito revolving senior garantita di Wayfair.
Le note vengono offerte solo a compratori istituzionali qualificati e a persone non statunitensi, in conformità con la Regola 144A e il Regolamento S ai sensi del Securities Act, rispettivamente. Non sono state registrate ai sensi del Securities Act o delle leggi sui titoli di altre giurisdizioni.
Wayfair Inc. (NYSE: W) ha anunciado el precio de una emisión privada de 800 millones de dólares de notas senior garantizadas con vencimiento en 2029, emitidas por su subsidiaria Wayfair. El tamaño de la emisión se incrementó desde los previamente anunciados 700 millones de dólares. Las notas, que vencerán el 31 de octubre de 2029, tendrán una tasa de interés del 7,250%. Se espera que la emisión cierre el 8 de octubre de 2024, sujeto a condiciones habituales.
La empresa planea utilizar los ingresos netos, junto con efectivo disponible, para pagar ciertas notas senior convertibles existentes y para fines corporativos generales. Las notas serán garantizadas por Wayfair y ciertas subsidiarias nacionales, aseguradas por gravámenes de primera prioridad sobre activos que también aseguran la línea de crédito revolving senior garantizada de Wayfair.
Las notas se ofrecen únicamente a compradores institucionales calificados y personas no estadounidenses, de acuerdo con la Regla 144A y el Reglamento S bajo el Securities Act, respectivamente. No han sido registradas bajo el Securities Act ni bajo las leyes de valores de ninguna otra jurisdicción.
Wayfair Inc. (NYSE: W)는 8억 달러의 만기 2029년 보안 노트의 사모 공모 가격을 발표했습니다. 이 노트는 자회사 Wayfair가 발행했습니다. 공모 규모는 이전에 발표된 7억 달러에서 증가했습니다. 이 노트는 2029년 10월 31일에 만기되며 7.250%의 이자율이 적용됩니다. 공모는 2024년 10월 8일에 마감될 것으로 예상되며, 통상적인 조건이 적용됩니다.
회사는 순수익금과 보유 현금을 이용하여 기존의 특정 전환형 선순위 노트를 상환하고 일반 기업 목적에 사용할 계획입니다. 이 노트는 Wayfair와 일부 국내 자회사가 보증하며, Wayfair의 선순위 유통 신용 시설을 보장하는 자산에 대해 1순위 lien이 설정됩니다.
이 노트는 자격을 갖춘 기관 투자자와 비미국인에게만 제공되며, 각각 Securities Act에 따른 규칙 144A와 규정 S에 따라 규정됩니다. 이들은 Securities Act 또는 다른 관할권의 증권 법률에 따라 등록되지 않았습니다.
Wayfair Inc. (NYSE: W) a annoncé le prix d'une émission privée de 800 millions de dollars d'obligations senior garanties arrivant à échéance en 2029, émises par sa filiale Wayfair. La taille de l'offre a été augmentée par rapport aux 700 millions de dollars précédemment annoncés. Les obligations, arrivant à échéance le 31 octobre 2029, porteront un taux d'intérêt de 7,250%. L'offre devrait se clôturer le 8 octobre 2024, sous réserve des conditions habituelles.
La société prévoit d'utiliser le produit net, ainsi que les liquidités disponibles, pour rembourser certaines obligations senior convertibles existantes et à des fins d'entreprise générale. Les obligations seront garanties par Wayfair et certaines filiales nationales, étant sécurisées par des privilèges de premier rang sur des actifs qui garantissent également la facilité de crédit revolving senior garantie de Wayfair.
Les obligations sont proposées uniquement à des acheteurs institutionnels qualifiés et à des personnes non américaines, conformément à la règle 144A et au règlement S en vertu de la Securities Act. Elles n'ont pas été enregistrées en vertu de la Securities Act ou des lois sur les valeurs mobilières d'autres juridictions.
Wayfair Inc. (NYSE: W) hat den Preis für ein Privatangebot über 800 Millionen Dollar von senior gesicherten Anleihen, die bis 2029 fällig sind und von ihrer Tochtergesellschaft Wayfair ausgegeben werden, bekannt gegeben. Die Angebotsgröße wurde von zuvor angekündigten 700 Millionen Dollar erhöht. Die Anleihen, die am 31. Oktober 2029 fällig werden, werden einen Zinssatz von 7,250% haben. Das Angebot soll am 8. Oktober 2024 abgeschlossen werden, vorbehaltlich der üblichen Bedingungen.
Das Unternehmen plant, die Nettoerlöse zusammen mit vorhandenen Barmitteln zu bestimmte bestehende wandelbare Anleihen und für allgemeine Unternehmenszwecke zurückzuzahlen. Die Anleihen werden von Wayfair und bestimmten inländischen Tochtergesellschaften garantiert und durch vorrangige Sicherheiten auf Vermögenswerte gesichert, die auch Wayfairs revolvierende gesicherte Kreditfazilität sichern.
Die Anleihen werden nur an qualifizierte institutionelle Käufer und Nicht-US-Personen angeboten, gemäß Regel 144A und Regulierung S unter dem Securities Act. Sie wurden nicht nach dem Securities Act oder den Wertpapiergesetzen anderer Gerichtsbarkeiten registriert.
- Increased offering size from $700 million to $800 million, potentially indicating strong investor demand
- Proceeds will be used to repay existing convertible senior notes, potentially improving debt structure
- Notes are secured by first-priority liens on assets, providing additional security for investors
- 7.250% interest rate on new notes may increase interest expenses
- Issuance of new debt could potentially increase the company's overall debt burden
Insights
Wayfair's upsized
The company's plan to use proceeds for repaying existing convertible notes and general corporate purposes points to a debt refinancing strategy. This could potentially lower overall interest expenses and extend debt maturities, improving Wayfair's financial flexibility. The first-priority liens securing these notes, alongside the revolving credit facility, indicate a strong position for noteholders but may limit future borrowing capacity.
For investors, this move could signal Wayfair's proactive approach to managing its capital structure. However, the additional debt should be monitored in the context of the company's overall leverage and ability to generate cash flow to service this debt.
The private offering structure of these notes under Rule 144A and Regulation S exemptions is a common approach for expedited capital raising without the extensive SEC registration process. This method allows Wayfair to access capital markets quickly but restricts initial buyers to qualified institutional investors.
The joint and several guarantees from Wayfair and certain domestic subsidiaries strengthen the notes' security profile. However, investors should note that these notes are not registered under the Securities Act, which limits their transferability and liquidity in the secondary market.
The press release's careful language about not constituting an offer or solicitation is important for regulatory compliance. It protects Wayfair from potential legal issues related to unauthorized public offerings. Investors should be aware that this offering is not available to the general public and carries different risks and restrictions compared to registered securities.
We intend to use the net proceeds from the Notes offering, together with cash on hand, for the repayment of certain of Wayfair's existing convertible senior notes and general corporate purposes.
The Notes will be fully and unconditionally guaranteed, jointly and severally, on a senior secured basis by Wayfair and certain Wayfair domestic subsidiaries that guarantee the Issuer's senior secured revolving credit facility. The Notes and related guarantees will be secured on a first-priority basis by liens on the same assets that secure the Issuer's senior secured revolving credit facility.
The Notes and related guarantees have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or the securities laws of any other jurisdiction, and may not be offered or sold in
This press release is for informational purposes only and shall not constitute an offer to sell or a solicitation of an offer to buy any securities. Any offer of the Notes and related guarantees is not being made to any person in any jurisdiction in which the offer, solicitation or sale is unlawful. This press release also shall not constitute an offer to purchase, a solicitation of an offer to sell, or notice of redemption with respect to any of Wayfair's outstanding convertible notes.
About Wayfair
Wayfair is the destination for all things home, in one inspiring place. With quality finds for every style and budget, and a convenient experience from inspiration to installation, Wayfair empowers everyone, everywhere to create a space that is just right for them.
The Wayfair family of brands includes:
- Wayfair: Every style. Every home.
- AllModern: All of modern, made simple.
- Birch Lane: Classic style for joyful living.
- Joss & Main: The ultimate style edit for home.
- Perigold: The destination for luxury home.
- Wayfair Professional: A one-stop Pro shop.
Wayfair generated
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of federal and state securities laws. All statements other than statements of historical fact contained in this press release, including statements regarding the terms of the Notes; the anticipated use of the net proceeds from the offering of the Notes; the expected closing of the Notes offering; and expectations regarding the repayment of Wayfair's outstanding convertible notes, are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "anticipates," "continues," "could," "intends," "goals," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," or the negative of these terms or other similar expressions. Forward-looking statements are based on current expectations of future events. We cannot guarantee that any forward-looking statement will be accurate, although we believe that we have been reasonable in our expectations and assumptions. Investors should realize that if underlying assumptions prove inaccurate or that known or unknown risks or uncertainties materialize, actual results could vary materially from our expectations and projections. Investors are therefore cautioned not to place undue reliance on any forward-looking statements. We believe that these risks and uncertainties include, but are not limited to, adverse macroeconomic conditions, including rising and fluctuating interest rates and inflation, slower growth or the potential for recession, disruptions in the global supply chain, conditions affecting the retail environment for products we sell, and other matters that influence consumer spending and preferences, as well as our ability to plan for and respond to the impact of these conditions; our ability to acquire and retain customers in a cost-effective manner; our ability to increase our net revenue per active customer; our ability to build and maintain strong brands; our ability to manage our growth and expansion initiatives; and our ability to expand our business and compete successfully. A further list and description of risks, uncertainties and other factors that could cause or contribute to differences in our future results include the cautionary statements herein and in our most recent Annual Report on Form 10-K and in our other filings and reports with the Securities and Exchange Commission. We qualify all of our forward-looking statements by these cautionary statements. These forward-looking statements speak only as of the date of this press release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statements contained herein, whether as a result of any new information, future events or otherwise.
Media Relations Contact:
Tara Lambropoulos
PR@Wayfair.com
Investor Relations Contact:
James Lamb
IR@wayfair.com
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SOURCE Wayfair Inc.
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