After reporting positive results in Q1 2020 involving the increase of users and revenue, Snap Inc. is now looking to raise up to $750 million USD in private debt offerings. According to an internal message from CEO Evan Spiegel, the company hopes to secure more stability and ensure its long-term growth with the new debt securities, which will mature May 1, 2025.
“This is a strategic, opportunistic capital raise to help us continue achieving our vision for the long-term,” the statement says. “Convertible notes remain an efficient vehicle to raise capital, and investor demand for these types of convertible notes remains strong in the current environment.”
Spiegel continued: “We still have lots of work to do, and remain excited about our long-term opportunity. The proceeds from this offering will further bolster our balance sheet which will allow Snap the flexibility to continue to invest in the long-term growth of our business, even if challenging conditions continue.”
In other tech news, Apple is rumored to release a lower-priced 23-inch iMax and 11-inch iPad.