ENGLEWOOD, Colo.--(BUSINESS WIRE)--
Liberty Expedia Holdings, Inc. ("Liberty") (Nasdaq: LEXEA, LEXEB)
announced today that it has priced and agreed to sell to initial
purchasers in a private offering $350 million aggregate principal amount
of its 1.0% exchangeable senior debentures due 2047 (the "debentures").
Liberty has also granted to the initial purchasers an option to purchase
additional debentures in an aggregate principal amount of up to $50
Upon an exchange of debentures, Liberty, at its option, may deliver
shares of Expedia, Inc. ("Expedia") common stock, cash or a combination
of common stock and cash. Initially, 5.1566 shares of common stock are
attributable to each $1,000 principal amount of debentures, representing
an initial exchange price of approximately $193.93 for each share of
Expedia common stock. A total of approximately 1,804,810 shares of
Expedia common stock are attributable to the debentures (assuming the
initial purchasers do not exercise their option to purchase additional
debentures). Interest will be payable quarterly on March 31, June 30,
September 30 and December 31 of each year, commencing September 30,
2017. The debentures may be redeemed by Liberty, in whole or in part, on
or after July 5, 2022. Holders of the debentures also have the right to
require Liberty to purchase their debentures on July 5, 2022. The
redemption and purchase price will generally equal 100% of the adjusted
principal amount of the debentures plus accrued and unpaid interest to
the redemption date, plus any final period distribution.
The offering is expected to close on June 13, 2017, subject to the
satisfaction of customary closing conditions.
Liberty expects to use the net proceeds of the offering, together with
cash on hand, to repay $350 million outstanding under its margin loan
facility entered into by a wholly owned special purpose subsidiary. Any
remaining net proceeds will be used for general corporate purposes,
including to pay interest on the debentures.
The debentures have not been registered under the Securities Act of
1933, as amended (the "Securities Act"), or any state securities laws
and, unless so registered, may not be offered or sold in the United
States except pursuant to an exemption from, or in a transaction not
subject to, the registration requirements of the Securities Act and
applicable state securities laws. The debentures are being offered by
means of an offering memorandum solely to "Qualified Institutional
Buyers" pursuant to, and as that term is defined in, Rule 144A of the
This press release does not constitute an offer to sell or the
solicitation of an offer to buy the debentures nor shall there be any
sale of debentures in any state in which such offer, solicitation or
sale would be unlawful prior to registration or qualification under the
securities laws of such state.
This press release includes certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995,
including statements relating to the offering of debentures and the use
of proceeds therefrom. These forward-looking statements involve many
risks and uncertainties that could cause actual results to differ
materially from those expressed or implied by such statements,
including, without limitation, general market conditions. These
forward-looking statements speak only as of the date of this press
release, and Liberty expressly disclaims any obligation or undertaking
to disseminate any updates or revisions to any forward-looking statement
contained herein to reflect any change in Liberty's expectations with
regard thereto or any change in events, conditions or circumstances on
which any such statement is based. Please refer to the publicly filed
documents of Liberty, including its most recent Annual Report on Form
10-K and Quarterly Report on Form 10-Q, for risks and uncertainties
related to Liberty's business which may affect the statements made in
this press release.
About Liberty Expedia Holdings, Inc.
Liberty Expedia Holdings' (Nasdaq: LEXEA, LEXEB) principal assets
consist of its interest in Expedia, Inc. and its subsidiary Vitalize,
LLC (formerly referred to as Bodybuilding.com). Expedia is an online
travel company, empowering business and leisure travelers with the tools
and information they need to efficiently research, plan, book and
experience travel. Vitalize is a holding company engaged in health,
fitness, and media-related business segments. Vitalize currently has
three wholly-owned operating subsidiaries: Bodybuilding, WeMotivate, and
View source version on businesswire.com: http://www.businesswire.com/news/home/20170608005464/en/
Liberty Expedia Holdings, Inc.
Courtnee Chun, 720-875-5420
Source: Liberty Expedia Holdings, Inc.
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