WisdomTree prices $525 million convertible notes offering

WisdomTree Inc. (NYSE: WT) announced the pricing of $525 million in convertible senior notes due 2031 in a private offering to qualified institutional buyers. The initial purchasers exercised their option to purchase an additional $78.75 million, bringing the total offering to $603.75 million.

The notes carry a 4.50% annual interest rate and mature on October 1, 2031. They are convertible at an initial rate of 46.3306 shares per $1,000 principal amount, equivalent to a conversion price of approximately $21.58 per share. This represents a 60% premium to the company's March 23 closing price of $13.49 per share.

WisdomTree plans to use approximately $200 million of the net proceeds to finance its previously announced acquisition of Atlantic House Holdings Limited. Another $302.7 million will fund cash consideration for exchanging existing 2029 convertible notes, with remaining proceeds allocated to working capital and general corporate purposes.

Concurrently, WisdomTree entered into separate exchange transactions involving $75 million of its 2026 convertible notes and $275 million of its 2029 convertible notes. The company expects to recognize a one-time loss of approximately $105 million from these transactions.

The notes rank equally with WisdomTree's existing convertible notes and include standard redemption provisions. WisdomTree may redeem the notes after April 6, 2028, if its stock price reaches at least 130% of the conversion price for specified trading periods.

The offering is expected to settle on March 30, 2026, resulting in approximately $591.2 million in net proceeds after deducting fees and expenses, according to the company's press release statement.

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