Carvana Co. Announces Upsize and Pricing of its Offering of Class A Common Stock
22 May 2019 - 11:10AM
Business Wire
Carvana Co. ("Carvana") (NYSE: CVNA), a leading e-commerce
platform for buying and selling used cars, today announced the
upsize and pricing of its public offering of 4,200,000 shares of
its Class A common stock at a price to the public of $65.00 per
share. In addition, Carvana has granted the underwriters the right
to purchase up to 630,000 additional shares of Class A common stock
at the offering price. The offering was upsized from the previously
announced offering size of 3,500,000 shares of Class A common
stock. The offering is expected to close on May 24, 2019, subject
to customary closing conditions.
Wells Fargo Securities, Citigroup and Deutsche Bank Securities
acted as book-running managers for the proposed offering.
Carvana also announced today the pricing of $250.0 million
of additional 8.875% senior notes due 2023 (the “new notes”) in a
concurrent private placement to qualified institutional buyers, in
an offering exempt from registration under the Securities Act of
1933, as amended. The new notes will be issued as additional notes
under the indenture governing the outstanding $350.0 million of
senior notes that were issued on September 21, 2018.
Carvana intends to use the net proceeds from the public offering
of Class A common stock and the private placement of new notes for
general corporate purposes. Carvana may use the net proceeds from
these offerings to partially repay borrowings under its floor plan
facility until it identifies other specific uses.
The public offering of Class A common stock is being made only
by means of an effective registration statement (including a
prospectus and a prospectus supplement). A copy of the prospectus,
the preliminary prospectus supplement and, when available, the
final prospectus supplement relating to the offering may be
obtained from Wells Fargo Securities, LLC, Attention: Equity
Syndicate Department, 375 Park Avenue, New York, New York 10152, or
by phone at 1-800-326-5897, or by email at
cmclientsupport@wellsfargo.com, from Citigroup, c/o Broadridge
Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717
(Tel: 800-831-9146), or from Deutsche Bank Securities, Attention:
Prospectus Group, 60 Wall Street, New York, New York 10005,
telephone: 800-503-4611, or by emailing prospectus.CPDG@db.com.
An automatic shelf registration statement relating to the Class
A common stock has been filed with the U.S. Securities and Exchange
Commission and is effective. This press release shall not
constitute an offer to sell or a solicitation of an offer to buy
any of these securities, nor shall there be any sale of these
securities in any state or jurisdiction in which such an offer,
solicitation or sale would be unlawful prior to registration or
qualification under the applicable securities laws of such state or
jurisdiction.
About Carvana Co.
Founded in 2012 and based in Phoenix, Carvana’s mission is to
change the way people buy cars. By removing the traditional
dealership infrastructure and replacing it with technology and
exceptional customer service, Carvana offers consumers an intuitive
and convenient online car buying and financing platform.
Carvana.com enables consumers to quickly and easily shop more than
18,000 vehicles, finance, trade-in or sell their current vehicle to
Carvana, sign contracts, and schedule as-soon-as-next-day delivery
or pickup at one of Carvana’s patented, automated Car Vending
Machines.
Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements reflect Carvana’s current
intentions, expectations or beliefs regarding the proposed Class A
common stock offering and the new notes offering. These statements
may be preceded by, followed by or include the words "aim,"
"anticipate," "believe," "estimate," "expect," "forecast,"
"intend," "likely," "outlook," "plan," "potential," "project,"
"projection," "seek," "can," "could," "may," "should," "would,"
"will," the negatives thereof and other words and terms of similar
meaning. Forward-looking statements include all statements that are
not historical facts. Such forward-looking statements are subject
to various risks and uncertainties. Accordingly, there are or will
be important factors that could cause actual outcomes or results to
differ materially from those indicated in these statements. There
is no assurance that any forward-looking statements will
materialize. You are cautioned not to place undue reliance on
forward-looking statements, which reflect expectations only as of
this date. Carvana does not undertake any obligation to publicly
update or review any forward-looking statement, whether as a result
of new information, future developments, or otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20190521006000/en/
Investor Relations:Mike Levininvestors@carvana.com
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