RALEIGH – Bandwidth has priced its offering of nearly $300 million notes and at the same time says it has “no current agreements” for any acquisitions or what it calls a “strategic transaction.”
In announcing the notes offering earlier this week Bandwidth (Nasdaq: BAND) noted future deals might be a use for some of the capital.
Shares have fallen $7 this week to below $128 on Friday.
Later, when the notes were priced at 0.50% interest and mature on April 1, 2028.
“Bandwidth intends to use a portion of the net proceeds from the offering to pay the cost of the capped call transactions described below. Bandwidth intends to use the remainder of the net proceeds for working capital or other general corporate purposes, which may include capital expenditures and potential acquisitions and strategic transactions,” the company said.
“However, Bandwidth has not designated any specific uses and has no current agreements with respect to any acquisition or strategic transaction.”
The communications provider expects the sale of these notes “to initial purchasers” to settle by March 16.