CoreWeave prices upsized $4B convertible senior notes offering

CoreWeave just tapped debt markets for a massive chunk of capital, and the numbers keep growing. The AI cloud infrastructure company priced a private offering of $3.7B in convertible senior notes on September 18, 2026, after upsizing from an originally planned $3.0B. If initial purchasers exercise a 13-day greenshoe option for an additional $500M in principal, the total climbs to $4.2B. The notes carry a 2.875% coupon and mature on April 1, 2033, making them considerably cheaper financing than CoreWeave’s existing senior debt, which typically carries rates between 8.5% and 9.75%. How the deal is structured CoreWeave’s estimated net proceeds from the offering come to approximately $3.6445B, potentially rising to around $4.137B if the greenshoe is fully exercised. Roughly $498.8M of the proceeds are earmarked for capped call transactions. Those are derivative instruments designed to reduce the dilutive impact on existing shareholders when the notes eventually convert to equity. The initial conversion price is set at approximately $97.85 per share, representing a 22.5% premium over the stock’s closing price of $79.88 on September 17, 2026. The remainder of proceeds beyond the capped c...