SAN JOSE, Calif., May 11, 2020 /PRNewswire/ -- PayPal Holdings,
Inc. (Nasdaq: PYPL) announced today that it has priced its offering
of $4.0 billion aggregate principal
amount of senior notes, consisting of $1,000,000,000 aggregate principal amount of
1.350% notes due 2023, $1,000,000,000
aggregate principal amount of 1.650% notes due 2025, $1,000,000,000 aggregate principal amount of
2.300% notes due 2030 and $1,000,000,000 aggregate principal amount of
3.250% notes due 2050. The offering is expected to close
May 18, 2020, subject to customary
closing conditions.
PayPal estimates that the net proceeds from the offering will be
approximately $3,974,740,000, before
deducting offering expenses. PayPal intends to use a portion of the
net proceeds from the offering to repay outstanding borrowings
under its five-year revolving credit facility (the "Revolving
Credit Facility") and the remainder for general corporate purposes,
which may include funding the repayment or redemption of
outstanding debt, share repurchases, ongoing operations, capital
expenditures and possible acquisitions of businesses or assets or
strategic investments. As of March 31,
2020, $3.0 billion was
outstanding under the Revolving Credit Facility at a weighted
average interest rate of 2.19%.
BofA Securities, Inc., Citigroup Global Markets Inc., J.P.
Morgan Securities LLC, Deutsche Bank Securities Inc., Goldman Sachs
& Co. LLC and Wells Fargo Securities, LLC are acting as joint
book-running managers of the offering.
This offering is being made under an automatic effective shelf
registration statement on Form S-3 filed by PayPal with the
Securities and Exchange Commission (the "SEC") and only by means of
a prospectus supplement and accompanying prospectus. Before you
invest, you should read the prospectus supplement and accompanying
prospectus, as well as other documents PayPal has filed or will
file with the SEC for more complete information about PayPal and
this offering. These documents may be obtained for free by
searching the SEC online database (EDGAR) on the SEC website at
www.sec.gov. Alternatively, copies of the preliminary prospectus
supplement and accompanying prospectus, and, when available, the
final prospectus supplement for the offering may be obtained by
contacting: BofA Securities, Inc. at NC1-004-03-43, 200 North
College Street, 3rd Floor, Charlotte,
North Carolina, 28255-0001, Attn: Prospectus Department or
at (800) 294-1322; Citigroup Global Markets Inc. at c/o Broadridge
Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717 or at (800) 831-9146;
or J.P. Morgan Securities LLC at Attention: Investment Grade
Syndicate Desk, 383 Madison Avenue, New
York, New York 10179, 3rd Floor, or collect at (212)
834-4533.
This press release shall not constitute an offer to sell, or the
solicitation of an offer to buy, nor shall there be any sale of the
notes in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
About PayPal
PayPal has remained at the forefront of
the digital payment revolution for more than 20 years. By
leveraging technology to make financial services and commerce more
convenient, affordable, and secure, the PayPal platform is
empowering more than 300 million consumers and merchants in more
than 200 markets to join and thrive in the global economy.
Forward-Looking Statements
This press release
contains "forward-looking" statements within the meaning of
applicable securities laws, including statements related to the
anticipated terms of the offering, the anticipated closing of the
offering, the expected use of proceeds of the notes and other
statements that are not historical fact. These forward-looking
statements can be identified by words such as "may," "will,"
"would," "should," "could," "expect," "anticipate," "believe,"
"estimate," "intend," "strategy," "future," "opportunity," "plan,"
"project," "forecast" and other similar expressions.
Forward-looking statements are based upon various estimates and
assumptions, as well as information known to PayPal as of the date
of this press release, and are inherently subject to numerous risks
and uncertainties. Accordingly, actual results could differ
materially from those predicted or implied by forward-looking
statements. For the reasons discussed above, you should not
place undue reliance on the forward-looking statements in this
press release. PayPal assumes no obligation to update such
forward-looking statements, except as required by law.
PayPal Holdings, Inc.
Investor Relations Contact
Gabrielle Rabinovitch
grabinovitch@paypal.com
Akila Moorthy
amoorthy@paypal.com
Media Relations Contact
Josh Criscoe
jcriscoe@paypal.com
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SOURCE PayPal Holdings, Inc.