Overview
- Hims & Hers priced a private offering of 2032 convertible senior notes at $350 million with a 0.00% coupon and an initial conversion price of about $29.53 per share.
- Initial buyers received a 13-day option to purchase up to an additional $52.5 million of notes, expanding the potential raise if demand continues.
- The company entered capped call deals that lift the effective conversion cap to $50.15 per share, which helps reduce dilution if the stock rises and the notes convert.
- Proceeds are earmarked for international growth, including the planned acquisition of Australia-based Eucalyptus that the company expects to close in mid-2026.
- The notes mature on June 1, 2032, include a company redemption right starting June 6, 2029 if the stock exceeds 130% of the conversion price, and allow settlement of conversions in cash, stock, or both.