Backblaze Prices Upsized $175M Convertible Notes at 30% Premium
BLZE has more than doubled off its 52-week low of $3.261 on elevated volume (2.0× avg).
Summary
Backblaze priced its convertible senior notes offering at $175 million, up from the previously announced $150 million, with a 0% coupon and a conversion price of $21.94 per share—a 30% premium to the last close. The company also entered capped call transactions with a cap price of $33.76, which should reduce dilution upon conversion. Net proceeds are estimated at $167.2 million, with an option for initial purchasers to buy an additional $26.25 million. The company plans to use approximately $15.2 million of the net proceeds for the capped call transactions and the remainder for general corporate purposes. The offering is expected to close on August 24, 2026.
At the time of this announcement, BLZE was trading at $16.92 on NASDAQ in the Technology sector, with a market capitalization of approximately $1B. The 52-week trading range was $3.26 to $23.99. This news item was assessed with neutral market sentiment and an importance score of 9 out of 10. Source: BusinessWire.