|
Fermi Inc - Texas-based real estate investment trust, focused on data centres - Prices $375 million in convertible senior notes due 2031 with a 5.00% coupon. The buyers of the notes, which Fermi calls qualified institutional buyers under US law, also will be given the option to buy up to an additional $56.3 million in notes. The initial conversion price of the notes into shares is set at $9.52, a premium to Fermi’s market price. Fermi also notes that the effective conversion price will be $14.64, as a result of options agreements it has entered with financial institutions that cover the shares underlying the convertible notes. This will limit the dilution to existing shareholders from the convertible note issue, Fermi says. The company will use the proceeds from the convertible note offer to pay the cost of these ‘capped call’ option contracts and for ‘general corporate purposes’. Earlier this week, Fermi said former chief executive Toby Neugebauer’s ‘proxy campaign’ to call a special meeting of shareholders had ended, and the company’s priorities remain on track. ‘Mr Neugebauer’s failed proxy campaign is over, and there will be no special meeting. With this behind us, Fermi’s board and leadership team remain fully focused on executing the company’s strategic priorities,’ Fermi said on Tuesday. Stock price in London: $6.25, down 18% early Friday 12-month change: down 70% from $21.00 listing price in London in October Stock price in New York: $5.94, down 19% in pre-market Copyright 2026 Alliance News Ltd. All Rights Reserved.
|
