Robinhood Markets is raising $2 billion through a convertible bond offering, according to reports from Bloomberg and other outlets. The company is marketing zero-coupon convertible senior notes with a maturity in October 2029. The offering is part of a broader wave of convertible issuance in which companies sell instruments that typically do not pay regular interest, in exchange for investors receiving potential equity upside through conversion.
Bloomberg reports that the deal is being underwritten by Goldman Sachs and JPMorgan. The Next Web adds that the structure includes a greenshoe option, which can allow the underwriters to increase the size of the offering if demand is strong. The Next Web also states that the proceeds are intended, at least in part, to support a share buyback.
Investing.com reports that the convertible notes offering is priced at $2 billion. Across sources, the key points are that Robinhood is using convertible securities, raising $2 billion, with a 2029 maturity and an offering led by major investment banks, with no interest paid under the zero-coupon terms.
