Nutanix announces receipt of notice of conversion of its 2.50% convertible senior notes due 2026.

Nutanix (NASDAQ:NTNX) on Monday announced that it had received a conversion notice from BCPE Nucleon (DE) SPV, an affiliate of Bain Capital, regarding the conversion of $817.6 million in aggregate principal amount, representing the entire outstanding principal amount, of Nutanix’s convertible senior notes 2.50% interest rate 2026 where Nutanix originally issued September 2020 and, under certain circumstances, may have been redeemed by Nutanix on or after September 15, 2025.
Pursuant to the indenture governing the notes, the effective conversion value at the time of conversion is calculated based on the 25-trading-day, volume-weighted average price of Nutanix’s Class A common stock of approximately $65.51 per share.
Under the terms of the 2026 Notes Agreement, Nutanix is required to settle the conversion by paying $817.6 million in cash and delivering approximately 16.9 million shares of Class A common stock.
Nutanix expects to apply existing balance sheet liquidity to settle the cash portion of the conversion.
Nutanix expects to deliver the shares in tardy July 2024.
Following the conversion of the bonds, Max de Groen and David Humphrey, partners at Bain Capital, will continue to serve as members of the Nutanix Board of Directors.
Source: press release