Meta Announces Pricing of Offering of Depositary Shares Representing Series A Mandatory Convertible Preferred Stock and Offering of Class A Common Stock in Connection with Forward Sale Agreements
Meta priced a concurrent dual offering: $25.0 billion of Class A common stock (upsized from $22.5 billion) at $625.00 per share via forward sale agreements, plus 250 million depositary shares of 6.50% Series A mandatory convertible preferred stock at $50.00 each. Expected net proceeds total roughly $37.4 billion (~$24.9B common plus ~$12.5B preferred), or about $43 billion with over-allotments, earmarked for general corporate purposes; the forward sales settle at approximately $622.92 per share on or before November 19, 2027.
Key figures
- Guidance
- Net proceeds ~$24.9B from common (or ~$28.7B with over-allotment) and ~$12.5B (or ~$14.3B) from preferred, for general corporate purposes
- Deal Value Usd
- 37500000000
- Offering Price
- $625.00 per common share; $50.00 per depositary share
- Shares Offered
- 40,000,000 Class A shares (46,000,000 if over-allotment exercised in full) plus 250,000,000 depositary shares
- Forward price
- $622.92 per share
- Over allotment option
- $3.75 billion
- Preferred dividend rate
- 6.50%
- Common stock offering size
- $25.0 billion
- Preferred conversion range
- 1.3620-1.6000 shares of Class A per preferred share
- Prior common offering size
- $22.5 billion
- Forward settlement deadline
- November 19, 2027
- Preferred liquidation preference
- $1,000 per share
AI analysis
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