Posted 3/5/2024, 9:34:41 PM
Companies Plan Large Convertible Bond Offerings, Putting Downward Pressure on Stock Prices
- Several companies including SoFi, Albemarle, and MicroStrategy announced plans to issue convertible bonds, putting downward pressure on stock prices
- Albemarle seeking to raise $1.75 billion, the largest deal of the three companies
- SoFi aiming to raise $750 million through convertible bond offering
- MicroStrategy looking to raise $600 million, likely to purchase more Bitcoin as it's the largest corporate holder
- Convertible bonds dilute value for existing shareholders as they can convert to common shares, increasing supply