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For more information please contact:
Investment Banking
David Enzer
Managing Director
(310) 445-5868
denzer@roth.com
Robert Reid
Vice President
(949) 720-7146
rreid@roth.com
Equity Capital Markets
Aaron Gurewitz
Head of Equity
Capital Markets
(949) 720-5703
agurewitz@roth.com
Nazan Akdeniz
Senior Vice President
(949) 720-5740
nakdeniz@roth.com
Lou Ellis
Senior Vice President
(949) 720-5739
lellis@roth.com |
Transaction Information
Medallia, Inc. (NYSE:MDLA) has closed an offering of $575 million of Convertible Senior Notes due 2025, in a private offering pursuant to Rule 144A under the Securities Act of 1933. The notes will be senior, unsecured obligations of Medallia and will bear interest at a rate of 0.125% per year. Interest will be payable semi-annually in arrears on March 15 and September 15 of each year, beginning on March 15, 2021. The notes will mature on September 15, 2025, unless earlier redeemed, repurchased or converted. Medallia may not redeem the notes prior to September 20, 2023. No sinking fund is provided for the notes, which means that Medallia is not required to redeem or retire the notes periodically. The notes also contain a number of other standard provisions. The notes will be convertible at an initial conversion price of approximately $39.35 per share, which represents a conversion premium of approximately 35.0%.
In connection with the offering, Medallia entered into privately negotiated capped call transactions with certain of the initial purchasers or their respective affiliates and other financial institutions. The cap price of the capped call transactions will initially be $58.30 per share, which represents a premium of 100% over the last reported sale price of Medallia's common stock of $29.15 per share on The New York Stock Exchange on September 15, 2020.
Medallia intends to use the net proceeds of the offering after payment of capped call transactions for general corporate purposes, which may include working capital, capital expenditures, and potential acquisitions and strategic transactions. However, it has not designated any specific uses for such remainder of the net proceeds and has no current agreements with respect to any material acquisition or strategic transactions.
Roth Capital Partners acted as co-manager for the offering.
About Medallia
Medallia (NYSE: MDLA) is the pioneer and market leader in Experience Management. Medallia's award-winning SaaS platform, the Medallia Experience Cloud, leads the market in the understanding and management of experience for customers, employees and citizens. Medallia captures experience signals created on daily journeys in person, on calls and digital channels, over video and social media and IoT interactions and applies proprietary AI technology to reveal personalized and predictive insights that can drive action with tremendous business results. Using Medallia Experience Cloud, customers can reduce churn, turn detractors into promoters and buyers, create in-the-moment cross-sell and up-sell opportunities and drive revenue-impacting business decisions, providing clear and potent returns on investment. For more information, please visit
www.medallia.com. (Source:
Company Press Release | 09.14.20)
About Roth Capital Partners
Roth Capital Partners, LLC (ROTH), is a relationship-driven investment bank focused on serving emerging growth companies and
their investors. As a full-service investment bank, ROTH provides capital raising, M&A advisory, analytical research, trading,
market-making services and corporate access. Headquartered in Newport Beach, CA, ROTH is privately-held and employee owned, and
maintains offices throughout the U.S. For more information on ROTH, please visit
www.roth.com. |
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Date of Announcement: 10.13.20
The material, information and facts discussed in this announcement other than the information regarding Roth Capital Partners, LLC
("ROTH") and its affiliates, are from sources believed to be reliable, but are in no way guaranteed to be complete or accurate. This announcement should not be used as a complete analysis of any
companies, securities or topics discussed herein. Additional information is available upon request. This is not, however, an offer or solicitation of the securities discussed. Any opinions or
estimates in this announcement are subject to change without notice. An investment in any security based on this announcement may involve risks and uncertainties that could cause actual results to differ
materially from the forward-looking statements. Additionally, such investments may involve a high degree of risk and may not be suitable for all investors. No part of this announcement may be
reproduced in any form without the express written permission of ROTH. Copyright 2020. |
