Fed Governor Adriana Kugler to resign
SAN JOSE, Calif. - NetApp (NASDAQ: NTAP), a company specializing in intelligent data infrastructure with a market capitalization of $18.61 billion, has announced the pricing of its senior notes in two series, totaling $1.25 billion. The notes consist of $625 million at a 5.50% interest rate due 2032 and an equal amount at 5.70% due 2035. The closing of the offering is anticipated for March 17, 2025, subject to customary conditions. According to InvestingPro analysis, NetApp currently operates with a moderate level of debt and maintains a strong financial health score of "GOOD."
The company has outlined its intention to allocate a portion of the net proceeds to repay its $750 million of 1.875% Senior Notes due in 2025 upon their maturity. The remaining funds will be utilized for general corporate purposes. With current total debt of $2.25 billion and a current ratio of 0.93, this refinancing aligns with the company’s debt management strategy. InvestingPro research reveals 12+ additional key insights about NetApp’s financial position and future prospects.
Several financial institutions, including Goldman Sachs & Co. LLC, J.P. Morgan, BofA Securities, Wells Fargo Securities, Citigroup, and MUFG, are serving as joint book-running managers for the offering.
This press release does not represent an offer to sell or a solicitation to buy the senior notes or any other securities. The sale of the senior notes or other securities is not permitted in any state or jurisdiction where such an offer, solicitation, or sale would be illegal before registration or qualification under the securities laws of any such state or jurisdiction.
NetApp’s forward-looking statements in this press release are subject to various risks and uncertainties that could cause actual results to differ significantly. These factors include market conditions, interest rates, economic, industry, or political conditions in the U.S. or internationally. NetApp has disclaimed any obligation to update information in this press release unless required by law.
This news article is based on a press release statement.
In other recent news, NetApp reported mixed results for its third-quarter fiscal year 2025 earnings. The company slightly exceeded expectations with an earnings per share (EPS) of $1.91, compared to the forecast of $1.90. However, NetApp’s revenue came in at $1.64 billion, falling short of the anticipated $1.69 billion. This shortfall was influenced by delayed deals and unfavorable foreign exchange rates, particularly affecting the international public sector. Loop Capital Markets and Citi both revised their price targets for NetApp, lowering them to $130 and $110, respectively, while maintaining a Buy and Neutral rating. Despite the challenges, NetApp’s public cloud revenue grew by 15% year-over-year, and its storage-as-a-service platform, Keystone, saw nearly 60% growth. Additionally, NetApp announced the pricing of $1.25 billion in senior notes, with plans to use the proceeds to repay existing debt and for general corporate purposes. These developments reflect the company’s ongoing efforts to navigate market conditions while enhancing its product offerings and financial strategies.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.