JetBlue (NASDAQ:JBLU) stock is falling hard on Monday after the airline company announced a $400 million senior secured notes offering.
JetBlue is selling $400 million worth of senior secured notes due in 2029. Additionally, initial investors in this offering will have a 13-day option to acquire another $60 million worth of senior secured notes.
JetBlue says that it will use some of the funds from this offer to repurchase its 0.50% senior convertible notes due 2026. The rest will go toward general corporate purposes.
JetBlue also announced a second senior secured notes offering in combination with its new Cayman Islands exempted limited partnership and an indirect wholly-owned subsidiary, JetBlue Loyalty, LP.
That includes 1.5 billion in senior secured notes due in 2031. It also covers a proposed senior secured Term Loan B due 2029 worth $1.25 billion.
JBLU Stock Hit With Downgrades
Finally, the news surrounding JBLU stock today has resulted in downgrades from analysts. That saw the big three rating agencies lower their ratings for the company’s stock.
All of this news is dragging JBLU stock down 20.6% as of Monday afternoon.
There are even more stock market stories traders are going to want to read about below!
We have all of the hottest stock market news ready to go on Monday! Among that is what’s happening with recession talks, B. Riley Financial (NASDAQ:RILY) stock and more. All of this news is ready to go at the following links!
More Stock Market News for Monday
- UBS Just Lowered Chance of Recession By 7%. Here’s Why.
- B. Riley Financial Is Plunging. Why Is RILY Stock Down 52% Today?
- Why Is 60 Degrees Pharmaceuticals (SXTP) Stock Up 29% Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
