BBBY - Bed Bath & Beyond prices ~$225M underwritten public offering shares down

• Bed Bath & Beyond ( NASDAQ: BBBY ) was down 37.20% pre-market after announcing the pricing of an ~$225M underwritten public offering.
• The offering consists of the company's series A convertible preferred stock, warrants to purchase shares of the series A convertible preferred stock and warrants to purchase common stock.
• The omnichannel retailer also expects to receive additional gross proceeds of ~$800M through the issuance of securities, which requires the holder to exercise warrants to purchase shares of series A preferred stock in future installments assuming certain condition are met.
• The net proceeds are intended to be used to repay outstanding revolving loans. Also, the proceeds from the conversion of warrants to purchase shares of Series A convertible preferred stock will be used to further repay outstanding amounts.
• Source: Press Release

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