Why Shares of Under Armour Fell This Morning but Have Since Recovered
Under Armour (NYSE: UA) (NYSE: UAA) opened lower today, with both share classes down around 8% in early trading, after the company announced a convertible senior note offering. Both stocks have since recovered and are now in the green as of 12:45 p.m. EDT.
The athletic apparel maker is proposing a $400 million offering for convertible senior notes that will come due in 2024. The paper will be offered to qualified institutional buyers, and those investors will have an option to purchase up to $60 million more in aggregate. The terms, such as conversion rate and interest rate, have not yet been finalized and will be determined by negotiations with investors.
Image source: Under Armour.
Source Fool.com
