Cryptocurrency exchange platform Coinbase Global Inc. will generate some $1.5 billion in debt to finance general expenses and potential investments, MarketWatch reported.
- The private offering will be made through senior notes due 2028 and 2031, through a 14A transaction, which requires shareholder approval. Coinbase will fully and unconditionally guarantee the notes.
- Proceeds of the offering will be used to fund general corporate purposes and other investments such as possible acquisitions and products, and for the company’s expansion plans moving forward.
- Coinbase said the funds to be raised will provide an opportunity to bolster its “already-strong” balance sheet with low-cost capital.
Coinbase shares are up 10% in the past three months, or flat when compared with the performance of the Nasdaq 100. COIN is down 3.11%.