PureCycle Prices $395M Offerings

PureCycle Technologies, Inc. announced the pricing of concurrent public offerings, raising $395.0 million in gross proceeds. This includes $250.0 million aggregate principal amount of 4.75% convertible senior notes due 2032 and 17,661,388 shares of common stock at $8.21 per share. The company also granted underwriters options for additional notes and common stock. The net proceeds, estimated at $242.0 million from notes and $137.1 million from common stock, will primarily be used to repurchase approximately $216.0 million of its outstanding 7.25% green convertible notes due 2030 in privately negotiated transactions, with the remainder allocated for working capital and general corporate purposes. Morgan Stanley is the sole bookrunner, and Cantor is a co-manager for the offerings. The notes will mature on July 1, 2032, with an initial conversion rate of 90.2242 shares per $1,000 principal amount, representing a 35.0% premium to the common stock offering price.