Shift4 Payments, Inc. has just completed an offering of €680 million aggregate principal amount of 5.500% senior notes due 2033 (the “euro notes”) and a tack-on offering of $550 million aggregate principal amount of 6.750% senior notes due 2032 (the “new 2032 notes”). These offerings were made by Shift4 Payments, LLC and Shift4 Payments Finance Sub, Inc., subsidiaries of Shift4 Payments, Inc., and the notes are guaranteed on a senior unsecured basis by certain of Shift4's subsidiaries.
The net proceeds from these offerings, along with a new secured term loan B credit facility and the issuance and sale of mandatory convertible preferred stock, as well as cash on hand, will be used for various purposes including the payment of a portion of the cash consideration due in respect of Shift4 Payments, Inc.'s acquisition of Global Blue Group Holding AG and related fees, costs, and expenses, the redemption or repayment of the issuers’ 4.625% senior notes due 2026, and general corporate purposes such as repayment of debt, strategic acquisitions, and growth initiatives.
The completion of the offering is not conditioned on the redemption or repayment of the 2026 notes, and any redemption or repayment of the 2026 notes will be made solely by a notice of redemption or repayment.
The notes were offered in a private offering exempt from the registration requirements of the Securities Act of 1933, and were offered to qualified institutional buyers in the United States and outside the United States in accordance with regulation S under the Securities Act. The market has reacted to these announcements by moving the company's shares 1.91% to a price of $90.70. For the full picture, make sure to review Shift4 Payments's 8-K report.
