fuboTV Announces Pricing of $350 Million Convertible Senior Notes Offering
January 29 2021 - 1:35AM
Business Wire
fuboTV Inc. (“fuboTV”) (NYSE: FUBO), the leading sports-first
live TV streaming platform, today announced the pricing of $350
million aggregate principal amount of 3.25% convertible senior
notes due 2026 (the “notes”) in a private offering to persons
reasonably believed to be qualified institutional buyers pursuant
to Rule 144A under the Securities Act of 1933, as amended (the
“Securities Act”). The offering is expected to close on February 2,
2021, subject to customary closing conditions. fuboTV also granted
the initial purchaser a 13-day option to purchase up to an
additional $52.5 million aggregate principal amount of notes.
The notes will be general unsecured obligations of fuboTV and
will accrue interest payable semiannually in arrears on February 15
and August 15 of each year, beginning on August 15, 2021, at a rate
of 3.25% per year. The notes will mature on February 15, 2026,
unless earlier converted, repurchased or redeemed. The initial
conversion rate will be 17.3063 shares of fuboTV’s common stock per
$1,000 principal amount of notes (equivalent to an initial
conversion price of approximately $57.78 per share). The initial
conversion price of the notes represents a premium of approximately
45% over the closing price of fuboTV’s common stock on January 28,
2021. The notes will be convertible under certain circumstances
into cash, shares of fuboTV’s common stock or a combination of cash
and shares of fuboTV’s common stock, at fuboTV’s election.
fuboTV may redeem for cash all or any portion of the notes, at
its option, on or after February 20, 2024 and prior to the 41st
scheduled trading day immediately preceding the maturity date if
the last reported sale price of fuboTV’s common stock has been at
least 130% of the conversion price then in effect for at least 20
trading days (whether or not consecutive) during any 30 consecutive
trading day period (including the last trading day of such period)
ending on, and including, the trading day immediately preceding the
date on which fuboTV provides notice of redemption at a redemption
price equal to 100% of the principal amount of the notes to be
redeemed, plus accrued and unpaid interest to, but excluding, the
redemption date.
fuboTV estimates that the net proceeds from the offering will be
$338.4 million (or $389.5 million if the initial purchaser
exercises its option to purchase additional notes). fuboTV intends
to use the net proceeds from the offering for general corporate
purposes, including working capital, business development, sales
and marketing activities, capital expenditures, repayment of
outstanding debt, potential acquisitions and strategic
transactions. If the initial purchaser exercises its option to
purchase additional notes, fuboTV will use the net proceeds from
the sale of such additional notes for working capital and other
general corporate purposes as described above. However, it has not
designated any specific uses and has no current agreements with
respect to any material acquisition or strategic transaction.
Neither the notes, nor any shares of fuboTV’s common stock
issuable upon conversion of the notes, have been registered under
the Securities Act or any state securities laws, and unless so
registered, may not be offered or sold in the United States absent
registration or an applicable exemption from, or in a transaction
not subject to, the registration requirements of the Securities Act
and other applicable securities laws.
This press release is neither an offer to sell nor a
solicitation of an offer to buy any securities, nor shall it
constitute an offer, solicitation or sale of the securities in any
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such jurisdiction.
About fuboTV
fuboTV (NYSE: FUBO) is the leading sports-first live TV
streaming platform offering subscribers access to tens of thousands
of live sporting events annually as well as leading news and
entertainment content. With fuboTV, subscribers can stream a broad
mix of 100+ live TV channels, including 42 of the top 50
Nielsen-ranked networks across sports, news and entertainment -
more than any other live TV streaming platform. Continually
innovating to give subscribers a premium viewing experience they
can’t find with cable TV, fuboTV is regularly first-to-market with
new product features and was the first virtual MVPD to stream in
4K. fuboTV was also the first U.S. virtual MVPD to enter Europe
with the 2018 launch of fuboTV España. fuboTV launched fubo Sports
Network, the live, free-to-consumer TV network featuring live
sports and award-winning original programming, in 2019.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Forward-looking statements generally relate to future
events. In some cases, you can identify forward looking statements
because they contain words such as “may,” “will,” “should,”
“expects,” “plans,” “anticipates,” “going to,” “could,” “intends,”
“target,” “projects,” “contemplates,” “believes,” “estimates,”
“predicts,” “potential” or “continue” or the negative of these
words or other similar terms or expressions that concern fuboTV’s
expectations, strategy, priorities, plans or intentions.
Forward-looking statements in this release include, but are not
limited to, statements concerning repurchase, redemption or early
conversion of the notes, exercise of the purchaser’s option to
purchase additional notes, and the anticipated use of proceeds from
the offering.
fuboTV’s expectations and beliefs regarding these matters may
not materialize, and actual results in future periods are subject
to risks and uncertainties that could cause actual results to
differ materially from those projected. The forward-looking
statements contained in this release are also subject to other
risks and uncertainties, including those more fully described in
fuboTV’s filings with the Securities and Exchange Commission. The
forward-looking statements in this release are based on information
available to fuboTV as of the date hereof, and fuboTV disclaims any
obligation to update any forward-looking statements, except as
required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20210128006232/en/
Investor Contact: The Blueshirt Group for fuboTV ir@fubo.tv
Media Contacts: Jennifer L. Press, fuboTV jpress@fubo.tv
Katie Minogue, fuboTV kminogue@fubo.tv
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