## Filing Overview
**Filing Date**: 02-02-2024
**Type of Filing**: [[Filing Definitions#8-K|8-K]]
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## Notes
#### Summary:
Rocket Lab USA, Inc. announced the offering and pricing of **$300 million** in 4.250% Convertible Senior Notes due 2029, an increase from the initially proposed **$275 million** offering. The notes, offered to qualified institutional buyers under **Rule 144A**, include a **13-day option** for purchasers to acquire an additional **$55 million** in notes. Key features of the offering include:
- **Convertible Terms**: The notes can be converted into cash, common stock, or a mix, at Rocket Lab's discretion. The initial conversion price is approximately **$5.13 per share**, a **27.5% premium** over the last reported stock price of **$4.02** on February 1, 2024.
- **Capped Call Transactions**: Rocket Lab entered into these transactions to offset potential stock dilution or cash obligations. The cap price is **$8.04 per share**, a **100% premium** over the stock price.
#### Use of Proceeds:
- Approximately **$36.5 million** allocated to capped call transactions.
- **$40 million** for repaying equipment financing debt.
- Remaining funds for **working capital** and potential **strategic acquisitions**.
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## Filing
![[40bbfa27-c502-44d8-b2ef-9bf80a8ad420.pdf]]