Life360 secures $320m in upsized debt issue
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The news: Family safety and location sharing app developer Life360 has closed an upsized $320 million debt offering with institutional buyers after the full exercise of options to purchase additional notes.
The numbers: Shares in Life360 were 1.2% lower at $32.88 at 10:28am AEST.
The raise consisted of an upsized $275 million issuance of senior convertible senior notes and the exercise of additional purchase options worth $45 million.
The notes are due on 1 June 2030 but can be redeemed early from 5 June 2028.
The net proceeds of the offering are about $308.9 million after deducting fees and estimated expenses.
Life360 has used $33.7 million of the net proceeds to fund the cost of entering into privately negotiated capped call transactions, as flagged on Tuesday.
The context: According to announcements on Tuesday, the raise was initially touted to be worth $250 million but it was increased to $275 million.
The notes will not accrue interest, a change from the initial announcement that they would accrue interest semi-annually.
The source: ASX
