Vroom prices upsized $550 mln convertible deal

Vroom

16/06/2021 13:23

** Vroom Inc  VRM.O  shares flat premarket after online
used-car seller raises more capital than planned
    ** Co prices private offering of $550 mln 0.75% 5-yr
convertible notes  urn:newsml:reuters.com:*:nGNX90RxXB
    ** Deal size increased from $500 mln; conversion price of
$56.01 represents ~40% premium to stock's last sale of $40.01
    ** VRM to use net proceeds for general corp purposes,
including marketing, logistics operations expansion
    ** Co says may also use some proceeds for potential
acquisitions, though does not have any such agreements or
commitments at this time
    ** VRM shares on Tues fell 11.5% and now off ~2% YTD
    ** Co IPOd last June at $22 and has ~$5.5 bln current market
cap, per Refinitiv data

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com 1-332-219-1430))