In a note to Zynga investors, Zynga announced it will be selling $2.7 billion senior notes in an underwritten public offering. Take-Two will use the net proceeds raised to fund part of the cash portion of its $12.7 billion acquisition of Zynga, which was announced earlier this year.
The offering is expected to take place on Thursday, April 14, subject to “satisfaction of customary closing conditions.”
On offer will be $1 billion 3.3% senior notes due in 2024, $600 million 3.55% senior notes due in 2025, $600 million senior notes due in 2027, and $500 million 4% notes due in 2032.
Four companies have been named as joint book-running managers for the offering: JP Morgan Securities, Wells Fargo Securities, BNP Paribas Securities and BofA Securities.
Any remaining funds will be used for “general corporate purposes.”
Take-Two will be required to redeem these notes if the Zynga acquisition is not completed on or before January 9, 2023.