Live Nation is seeking to build up a war chest to support acquisitions and other corporate functions through the sale of $350m in convertible notes.
The bonds that it intends to offer, subject to market and other conditions, are due to mature in February 2025.
Live Nation also expects to grant the initial purchasers an option to buy an additional $50m aggregate principal amount of convertible notes.
The convertible notes will mature on February 15, 2025, unless repurchased, redeemed or converted in accordance with their terms prior to such date.
Holders will receive shares of the company’s common stock, cash or a combination of both at the company’s election. They will have the right to require Live Nation to repurchase all or a portion of their convertible notes for cash in an amount equal to the principal amount.
Senior notes are debt securities (bonds) that take precedence over other types of debt. They are more secure and less likely to default than junior unsecured bonds, and therefore they pay relatively lower coupon rates.