HITS Daily Double


Live Nation is looking to raise $350m through convertible senior notes that will come due in 2025. You can ask your accountant what that means or wait and watch Live Nation make more acquisitions.

The concert giant says it will use the proceeds from the offering for general corporate purposes and acquisitions.

The Convertible Notes will have an initial conversion rate of 9.4469 shares of the company’s common stock per $1,000 principal amount of the Convertible Notes which equivalent to an initial conversion price of approximately $105.85 per share of the company’s common stock. The stock closed at $70.57 on Wednesday.

Live Nation made a similar offering in 2018, issuing $500m in convertible senior notes due 2023 and $300m in senior notes due 2026.

The news arrives on the heels of yet another analyst giving a bullish report on Live Nation. Cowen gave an “outperform” rating to Live Nation with a target price of $85 per share.

"The market is underappreciating that Live Nation is often the buyer of choice for independent promoters looking to sell," the financial services firm reported.

CNN’s recent poll of 16 analysts yielded a “buy” response with a target price of $80-$85.

The Convertible Notes will be offered through a private placement and offered only to "qualified institutional buyers." Or, as we call them, the guys who got the really good seats at the U2 concert.