Hewlett Packard Enterprise Announces Pricing Of Offering Of Mandatory Convertible Preferred Stock

(RTTNews) - Hewlett Packard Enterprise Co. (HPE) announced the pricing of public offering of $1.35 billion (27 million shares) of Series C Mandatory Convertible Preferred Stock of HPE, in an underwritten registered public offering, at a price to the public and a liquidation preference of $50.00 per share of Preferred Stock.

In addition, HPE granted to the underwriters in the Offering a 30-day option to purchase up to an additional $150 million (3 million shares) of Preferred Stock to cover over-allotments, if any.

The company noted that the proceeds from the Offering will be approximately $1.32 billion or approximately $1.46 billion if the underwriters exercise their option to purchase additional shares.

HPE said it plans to use the net proceeds from the Offering to fund all or a portion of the consideration for the previously announced pending acquisition of Juniper Networks, Inc., to pay related fees and expenses, and, if any proceeds remain thereafter, for other general corporate purposes.

The Offering is expected to be consummated on or about September 13, 2024, subject to certain customary closing conditions.