Navient Finalizes $500M Senior Notes Offering at 9.375% Due 2031
NAVI is trading near its 52-week low of $7.802 (9.6% above the low).
Summary
Navient has filed the pricing term sheet for a $500 million offering of senior notes due 2031, carrying a high interest rate of 9.375%. This follows a preliminary announcement earlier today and an FWP filing just minutes prior, finalizing the terms. It also comes after the company reported a full-year net loss in 2025 and disclosed a $1.1 billion technical default on secured debt in its Q1 2026 10-Q. The $500 million offering is substantial, representing over 60% of Navient's current market capitalization. The high 9.375% coupon rate indicates a significant cost of capital, likely reflecting the company's recent financial challenges and the need to address liquidity or refinance existing obligations.
At the time of this announcement, NAVI was trading at $8.55 on NASDAQ in the Finance sector, with a market capitalization of approximately $803.6M. The 52-week trading range was $7.80 to $16.07. This news item was assessed with neutral market sentiment and an importance score of 8 out of 10. Source: Reuters.