CHEF - Chefs' Warehouse prices $250M convertible note offering

• Chefs' Warehouse ( NASDAQ: CHEF ) said Friday it priced a $250M offering of 2.375% convertible senior notes due 2028 in a private placement .
• The sale of convertible notes to the initial buyers, which is expected to settle on December 13, is expected to result in ~$243.2M in net proceeds.
• The notes will bear interest at 2.375% per year and will pay interest semiannually in arrears on June 15 and December 15 of each year, starting June 15, 2023.
• Chefs' Warehouse ( CHEF ) expects to use ~$159.8M of the net proceeds to pay the cash portion for concurrent exchange transactions. The remainder will be used for general corporate purposes.
• Conversion rate for the convertible notes is 22.5912 shares of the firm's stock per $1K of the notes ( or ~$44.27/share).
• Chefs' Warehouse ( CHEF ), in exchange transactions with certain holders of its 1.875% convertible senior notes due 2024, expects to exchange or repurchase ~$158.4M of the existing convertible notes for ~$159.8M in cash and ~324.1K shares.

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