Viavi Solutions Inc. Raises $250 Million with Senior Convertible Notes

By Tamara Parker • Thursday, August 14 10:19 • Permanent Link

Viavi Solutions Inc. has announced a series of private convertible exchange and subscription transactions totaling $250 million in principal amount of 0.625% senior convertible notes due 2031. The company entered into privately negotiated exchange and/or subscription agreements with certain holders of its outstanding 1.625% senior convertible notes due 2026 and certain new investors.

The new notes will represent senior unsecured obligations of Viavi and will pay interest semi-annually at a rate of 0.625% per annum, commencing on March 1, 2026. They will mature on March 1, 2031, unless earlier converted, redeemed, or repurchased.

The initial conversion rate is 72.5295 shares of Viavi’s common stock per $1,000 principal amount of new notes, equivalent to an initial conversion price of approximately $13.79 per share, representing an approximately 25% conversion premium over the closing price of $11.03 of Viavi's common stock on August 13, 2025.

Viavi estimates that the gross cash proceeds from the subscription transactions will be approximately $149.1 million, before subtracting fees and expenses in connection with the exchange and subscription transactions. The net proceeds from the subscription transactions will be used to repay a portion of the 2026 notes due upon maturity.

In connection with the issuance of the new notes, Viavi expects to repurchase approximately $30 million of shares of its common stock at a price per share of $11.03, which is equal to the last reported sale price of the common stock on August 13, 2025.

The new notes were offered only to institutional “accredited investors” and “qualified institutional buyers” and have not been registered under the securities act or state securities laws.

Viavi is a global provider of network test, monitoring and assurance solutions for various industries and is a leader in light management technologies for a wide range of applications. Today the company's shares have moved 0.64% to a price of $11.03. For the full picture, make sure to review VIAVI SOLUTIONS INC.'s 8-K report.

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