Outbrain Announces Closing of New Senior Secured Notes Due 2030
Rhea-AI Summary
Outbrain (NASDAQ: OB), now operating under the Teads brand, has successfully closed a private offering of $637.5 million in 10.000% senior secured notes due 2030. The notes were issued at 98.087% of the principal amount, exceeding the initially announced $625.0 million.
The notes will be guaranteed jointly and severally on a secured, unsubordinated basis by Outbrain and its qualifying wholly owned subsidiaries. The proceeds, combined with cash on hand, were used to fully repay and cancel the senior secured bridge facility that funded the Teads acquisition, along with covering associated fees and expenses.
Positive
- Successfully raised $637.5 million, exceeding initial target of $625.0 million
- Refinanced bridge facility with longer-term debt due 2030
Negative
- High interest rate of 10.000% on the new notes
- Notes issued at a discount (98.087% of principal amount)
- Increased debt burden with secured obligations
News Market Reaction
On the day this news was published, OB declined 1.41%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
NEW YORK, Feb. 11, 2025 (GLOBE NEWSWIRE) -- Outbrain Inc. (NASDAQ: OB), which is operating under the new Teads brand, today announced the successful closing of its Rule 144A/Reg S private offering (the “Offering”) of
The size of the Offering was increased from the previously announced
The proceeds of the Offering were used, together with cash on hand, to repay in full and cancel the indebtedness incurred under the senior secured bridge facility (the “Bridge Facility”), including accrued and unpaid interest thereon, that was used to finance and pay costs related to the acquisition of Teads, as well as pay fees and expenses incurred in connection with the Offering and the Bridge Facility refinancing.
About The Combined Company
Outbrain Inc. (Nasdaq: OB) and Teads combined on February 3, 2025 and are operating under the new Teads brand. The new Teads is the omnichannel outcomes platform for the open internet, driving full-funnel results for marketers across premium media. With a focus on meaningful business outcomes, the combined company ensures value is driven with every media dollar by leveraging predictive AI technology to connect quality media, beautiful brand creative, and context-driven addressability and measurement. One of the most scaled advertising platforms on the open internet, the new Teads is directly partnered with more than 10,000 publishers and 20,000 advertisers globally. The company is headquartered in New York, with a global team of nearly 1,800 people in 36 countries.
To learn more, visit www.outbrain.com or www.teads.com
Media Contact
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(332) 205-8999
FAQ
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