Euronet to offer $850 million in convertible senior notes due 2030

LEAWOOD, Kan. - Euronet Worldwide, Inc. (NASDAQ:EEFT), a $3.9 billion market cap payment processing company currently trading at what InvestingPro analysis suggests is an undervalued level, announced Wednesday its intention to offer $850 million in Convertible Senior Notes due 2030 through a private placement to qualified institutional buyers under Rule 144A of the Securities Act.

The electronic payments provider, which maintains a "GOOD" overall financial health score according to InvestingPro analysis, plans to grant initial purchasers an option to buy up to an additional $150 million in notes within 13 days of the initial issuance. The notes will be general unsecured obligations with semiannual interest payments, with conversion terms allowing for cash, shares of common stock, or a combination of both at Euronet’s discretion.

According to the company’s press release statement, proceeds from the offering will be used to repay borrowings under its existing unsecured revolving credit facility. Any additional proceeds from the potential exercise of the purchasers’ option would go toward further debt repayment or general corporate purposes.

Euronet also intends to use cash on hand to fund capped call transactions with the initial purchasers or their affiliates, designed to reduce potential dilution to common stock upon conversion of the notes. Additionally, the company plans to repurchase up to $175 million of its common stock concurrently with the pricing of the offering in privately negotiated transactions.

The notes and any shares issuable upon conversion have not been registered under the Securities Act and may not be offered or sold in the United States without registration or an applicable exemption.

Euronet Worldwide operates as a global payments processing company with services including money transfers, credit/debit processing, ATMs, point-of-sale services, and currency exchange in 199 countries and territories. The company generated $4.1 billion in revenue over the last twelve months, with analysts maintaining a strong buy consensus. For deeper insights into Euronet’s financial performance and growth potential, investors can access comprehensive analysis through InvestingPro, which offers exclusive ProTips and detailed financial metrics.

The interest rate, initial conversion rate, and other specific terms of the notes will be determined at the time of pricing.

In other recent news, Euronet Worldwide reported its Q2 2025 earnings, which did not meet analyst expectations. The company announced an earnings per share (EPS) of $2.56, falling short of the forecasted $2.66, marking a negative surprise of 3.76%. Revenue also came in below estimates at $1.07 billion, compared to the anticipated $1.08 billion. Despite these misses in both earnings and revenue, the company’s stock demonstrated stability. These developments are part of the recent financial disclosures from Euronet Worldwide.

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