SunPower's $200 million 1.25% debentures due 2027 now convertible

By Devika Patel

Knoxville, Tenn., Sept. 25 - SunPower Corp. said that its $200 million of 1.25% senior convertible debentures due 2027 are convertible during the fourth quarter ending Dec. 28.

The conversion opportunity arose because the company's stock traded at 125% of the conversion price for at least 20 out of 30 consecutive trading days during the quarter ended Sept. 28.

However, since the market value of the debentures exceeds the value holders would receive upon conversion, there may not be an economic incentive to convert the securities, the company said in a press release.

The principal amount of any debentures surrendered for conversion will be settled in cash. Any amount above that will be paid in stock.

SunPower, based in San Jose, Calif., designs and manufactures solar electric systems for residential, commercial and utility-scale power plant customers.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.