10:23 AM EST, 03/05/2024 (MT Newswires) -- MP Materials ( MP ) said Tuesday it priced an upsized $650 million private placement of 3.00% convertible senior notes due 2030.

The rare-earth materials company also provided the initial purchasers with a 13-day option to buy up to $97.5 million of the notes. The offering was increased in size from the original proposal to sell $500 million of the notes.

The notes will have an initial conversion price of about $21.74 apiece.

The company is expecting to use the net proceeds to repurchase about $400 million of 0.25% green convertible notes due 2026. The remaining funds will be used to fund capped call transactions and for general corporate purposes.

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