Activision Blizzard Prices $2,000,000,000 of Senior Unsecured Notes
August 05 2020 - 6:54PM
Business Wire
Activision Blizzard, Inc. (“Activision Blizzard” or the
“company”) (NASDAQ: ATVI) today announced the pricing of two series
of senior unsecured notes in an aggregate principal amount of
$2,000,000,000, in a public underwritten offering, consisting of
$500,000,000 of 1.350% senior notes due 2030 (the “2030 notes”) and
$1,500,000,000 of 2.500% senior notes due 2050 (together with the
2030 notes, the “notes”).
The offering is expected to close on August 10, 2020, subject to
customary closing conditions.
Activision Blizzard intends to use a portion of the
approximately $1.97 billion of net proceeds from the offering to
fund the redemption of all of its outstanding 2.3% senior unsecured
notes due 2021 and all of its outstanding 2.6% senior unsecured
notes due 2022, including in each case the payment of premiums and
accrued interest to the redemption date. Activision Blizzard
expects to use the remaining net proceeds from the offering for
general corporate purposes. This press release does not constitute
a notice of redemption.
Each series of notes will be the general senior obligation of
Activision Blizzard and will be effectively subordinated to all of
Activision Blizzard’s future secured debt, if any, to the extent of
the value of the assets securing such debt. The notes will not be
guaranteed by any of Activision Blizzard’s subsidiaries.
The offering is being made pursuant to an effective registration
statement filed by the company with the Securities and Exchange
Commission on September 4, 2019. BofA Securities, J.P. Morgan,
Mizuho Securities, Wells Fargo Securities, Goldman Sachs & Co.
LLC, HSBC, MUFG, Truist Securities and US Bancorp are acting as
joint book-running managers. BMO Capital Markets, Citigroup, PNC
Capital Markets LLC, Loop Capital Markets, Siebert Williams Shank,
Academy Securities and R. Seelaus & Co., LLC are acting as
co-managers.
The offering may be made only by means of a prospectus and
related prospectus supplement. Potential purchasers of the notes
can obtain copies of the prospectus and related prospectus
supplement from BofA Securities, Inc., at 200 North College Street,
NC1-004-03-43, Charlotte, NC 28255-0001, Attention: Prospectus
Department, or by calling toll free (800) 294-1322 or by email at
dg.prospectus_requests@bofa.com; J.P. Morgan Securities LLC, at 383
Madison Avenue, New York, NY 10179, Attention: Investment Grade
Syndicate Desk – 3rd Floor, or by calling (212) 834-4533; Mizuho
Securities USA LLC, at 1271 Avenue of the Americas, New York, NY
10020, or by calling 866-271-7403; or Wells Fargo Securities, LLC,
at 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402,
Attention: WFS Customer Service, or by email at
wfscustomerservice@wellsfargo.com or by calling toll free
1-800-645-3751.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy any securities, nor shall there be
any sales of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such
jurisdiction.
About Activision
Blizzard
Activision Blizzard, Inc. connects and engages the world through
epic entertainment. A member of the Fortune 500 and S&P 500,
Activision Blizzard is a leading interactive entertainment company.
We delight hundreds of millions of monthly active users around the
world through franchises including Activision’s Call of Duty® and
Crash Bandicoot™, Blizzard Entertainment's World of Warcraft®,
Overwatch®, Hearthstone®, Diablo®, and StarCraft®, and King's Candy
Crush™, Bubble Witch™, and Farm Heroes™. Headquartered in Santa
Monica, California, Activision Blizzard has operations throughout
the world.
Cautionary Note Regarding Forward-looking Statements: The
statements contained in this press release that are not historical
facts are forward-looking statements, including, but not limited
to, statements regarding Activision Blizzard’s ability to
consummate the offering described in this press release.
Forward-looking statements are subject to business and economic
risks, reflect management's current expectations, estimates and
projections about the company’s business, and are inherently
uncertain and difficult to predict. The company cautions that a
number of important factors, many of which are beyond the company’s
control, could cause Activision Blizzard's actual future results
and other future circumstances to differ materially from those
expressed in any forward-looking statements. Such factors include,
but are not limited to, current market demand for these types of
securities and the securities of Activision Blizzard, Activision
Blizzard's ability to consummate the offering in the currently
anticipated timeframe or at all, the negotiations between
Activision Blizzard and the underwriters and the other factors
identified in the “Risk Factors” sections included in Part I, Item
1A of the company’s Annual Report on Form 10-K for the year ended
December 31, 2019, subsequent quarterly reports on Form 10-Q and in
the prospectus and related prospectus supplement for the offering.
The forward-looking statements in this press release are based on
information available to the company at this time and the company
assumes no obligation to update any such forward-looking
statements. Although these forward-looking statements are believed
to be true when made, they may ultimately prove to be incorrect.
These statements are not guarantees of the company’s future
performance and are subject to risks, uncertainties and other
factors, some of which are beyond the company’s control and may
cause actual results to differ materially from current
expectations.
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version on businesswire.com: https://www.businesswire.com/news/home/20200805006089/en/
For Information Contact:
Investors and Analysts: ir@activisionblizzard.com or Press:
pr@activisionblizzard.com
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