06:14 AM EST, 12/03/2024 (MT Newswires) -- Fastly (FSLY) said late Monday that it has signed separate, privately negotiated agreements to issue $150 million in 7.75% convertible senior notes due 2028.

The initial conversion rate is 50.6586 shares per $1,000 principal, equivalent to a conversion price of $19.74 per share, the cloud-services company said.

The gross proceeds of the issuance will be used to repurchase $157.9 million of the company's existing 0.00% convertible senior notes due 2026, the company added.

Additionally, Fastly said it has entered into separate, privately negotiated repurchase agreements with a number of holders of its existing convertible notes to repurchase $157.9 million of those notes for $150 million.

The transactions are expected to be settled on Thursday.

Shares of the company were up more than 1% in recent Tuesday premarket activity.