InterDigital Announces Convertibility of 3.50% Senior Convertible Notes Due 2027
July 03 2024 - 4:00AM
InterDigital, Inc. (Nasdaq: IDCC), a mobile, video and AI
technology research and development company, announced today that,
pursuant to the terms of the Indenture governing its 3.50% Senior
Convertible Notes due 2027 (the “Notes”), the Notes are convertible
during its calendar quarter ending September 30, 2024. The current
conversion rate of the Notes is 12.9041 shares of InterDigital’s
Common Stock per $1,000 principal amount of the Notes.
Upon the conversion of any Notes, InterDigital
will pay cash up to the aggregate principal amount of the Notes to
be converted, and will pay cash, shares of its Common Stock or a
combination of cash and shares of its Common Stock for any
conversion obligation in excess of the aggregate principal amount
being converted, if any, at InterDigital’s election, as set forth
in the Indenture governing the Notes.
At the time InterDigital issued the Notes,
InterDigital entered into call spread transactions that together
were designed to have the economic effect of reducing the net
number of shares that will be issued in the event of conversion of
the Notes by, in effect, increasing the conversion price of the
Notes from InterDigital’s economic standpoint from $77.49 to
$106.35. Refer to Footnote 5 of the Financial Statements from
InterDigital’s Form 10-Q for the quarter ended March 31, 2024 for
more information.
About InterDigital
InterDigital is a global research and development
company focused primarily on wireless, video, artificial
intelligence (“AI”), and related technologies. We design and
develop foundational technologies that enable connected, immersive
experiences in a broad range of communications and entertainment
products and services. We license our innovations worldwide to
companies providing such products and services, including makers of
wireless communications devices, consumer electronics, IoT devices,
cars and other motor vehicles, and providers of cloud-based
services such as video streaming. As a leader in wireless
technology, our engineers have designed and developed a wide range
of innovations that are used in wireless products and networks,
from the earliest digital cellular systems to 5G and today’s most
advanced Wi-Fi technologies. We are also a leader in video
processing and video encoding/decoding technology, with a
significant AI research effort that intersects with both wireless
and video technologies. Founded in 1972, InterDigital is listed on
Nasdaq.
InterDigital is a registered trademark of
InterDigital, Inc.
For more information, visit:
www.interdigital.com.
CONTACT: |
InterDigital, Inc. |
|
Email:
investor.relations@interdigital.com |
|
+1
(302) 300-1857 |
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