Affirm slips on planned $750 mln convertible debt offering

Sixth Street Specialty Lending

17/12/2024 13:45

** Shares of Affirm  AFRM.O  down 3.3% at $70.49 premarket as
buy now, pay later firm seeks capital raise
** San Francisco-based co late Mon announced private offering of
$750 mln 5-yr convertible bonds (CBs)
    ** It plans to use net proceeds to repurchase portion of its
0% CBs due 2026, use portion to buy back $300 mln of its common
stock, any remaining for general purposes
** On Fri, Affirm announced partnership with Sixth Street
 TSLX.N  whereby the investment firm agreed to invest up to $4
bln worth by purchasing Affirm's loans over three years
** Last month, Affirm posted narrower qtrly net loss and 41%
yr/yr jump in rev as active customers count climbed to 19.5 mln
from 16.9 mln in yr-ago period
    ** Through Mon, AFRM shares have risen ~78% since end-Sept,
putting them up 48% YTD
    ** Co has roughly $23 bln market cap, per LSEG

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