Veritone Announces Upsize and Pricing of $175 Million Offering of Convertible Senior Notes

About this update from Veritone, Inc.

[{"type":"text","content":" DENVER--(BUSINESS WIRE)--\nVeritone, Inc. (NASDAQ: VERI) creator of aiWARE, a hyper-expansive enterprise AI platform, today announced the upsize and pricing of $175 million aggregate principal amount of 1.75% convertible senior notes due 2026 (the “notes”) in a private placement (the “offering”) to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”), representing an increase of $25 million aggregate principal amount from the previously announced proposed offering size. The company also granted the initial purchasers of the notes an option to purchase, for settlement within a period of 13 days from, and including, the date notes are first issued, up to an additional $26.25 million aggregate principal amount of the notes (the “additional notes”). The sale of the notes is expected to close on November 19, 2021, subject to customary closing conditions.\n\nThe notes will be senior, unsecured obligations of the company, and will accrue interest payable semi-annually in arrears on May 15 and November 15 of each year, beginning on May 15, 2022, at a rate of 1.75% per year. The notes will mature on November 15, 2026, unless earlier converted, redeemed or repurchased by the company. The initial conversion rate will be 27.2068 shares of the company’s common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $36.76 per share of common stock). The initial conversion price of the notes represents a premium of approximately 32.5% over the last reported sale price of the company’s common stock of $27.74 per share on November 16, 2021. Noteholders will have the right to convert their notes in certain circumstances and during specified periods. Upon conversion, the notes may be settled in cash, the company’s common stock, or a combination of cash and the company’s common stock, at the company’s election. The notes will not be redeemable at the company’s option prior to November 20, 2024. On or after November 20, 2024, the company may redeem the notes for cash, at its option, if the last reported sale price of the company’s common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading d...

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