05:26 PM EST, 12/09/2024 (MT Newswires) -- Fluence Energy ( FLNC ) said late Monday it plans to offer $300 million in convertible senior notes due 2030 to qualified institutional buyers.

Initial buyers are expected to be granted a 13-day option to purchase up to an additional $45 million of the notes.

The notes will accrue interest payable semi-annually in arrears, maturing on June 15, 2030, unless repurchased, redeemed, or converted earlier, according to the company.

The company also said it plans to enter into capped call transactions with the initial note purchasers on the underlying common shares.

Part of the proceeds from the notes offering will be used to fund the cost of entering into the capped call transactions, while the rest will be used to purchase an intercompany subordinated convertible promissory note issued by Fluence Energy LLC.

Fluence Energy LLC will then use the proceeds for working capital requirements, battery cell production line upgrades, and general corporate purposes.