Coinbase Global (NASDAQ:COIN) stock dropped on Tuesday after it announced plans to offer $2 billion in convertible senior notes—$1 billion due in 2029 and $1 billion in 2032—through a private placement to qualified institutional buyers under Rule 144A.
If initial purchasers exercise their options, the company may offer up to an additional $300 million across both series.
Coinbase structured the notes as senior unsecured obligations, convertible into cash, stock, or a combination at its discretion.
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The company plans to use part of the proceeds to fund capped call transactions, which aim to minimize dilution and offset potential cash payments related to note conversions.
Coinbase intends …