Fintech Pagaya tumbles on exchangeable debt deal plans

Pagaya Technologies

26/09/2024 16:47

** Shares of Pagaya Technologies Ltd  PGY.O  tumble 23.7% to
$9.50 on Thurs as Israeli-based fintech seeks capital raise
    ** PGY hits lowest since May 1 and tracking biggest daily
pct drop since Mar 14
    ** Co late Weds said offering privately $125 mln 5-yr
exchangeable notes
    ** It may settle exchanges of the notes by paying or
delivering cash or its Class A shares, or combination of both,
co said
    ** PGY plans to use net offering proceeds to repay borrowing
under repurchase agreements, for general purposes and pay
related fees and expenses
    ** With ~71.8 mln shares outstanding, co has approx $682 mln
market cap, per LSEG
    ** About 7 mln shares have traded so far on Thurs vs stock's
10-DMA volume of roughly 1 mln
    ** Including move on the session, PGY down ~43% YTD

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))