WisdomTree Prices Offering of $150.0 Million of 4.25% Convertible Senior Notes and Intent to Fully Repay Current Debt Outstanding

NEW YORK, June 10, 2020 (GLOBE NEWSWIRE) -- WisdomTree Investments, Inc. (NASDAQ: WETF) (“WisdomTree”) today announced the pricing of its offering of $150.0 million aggregate principal amount of its convertible senior notes due 2023 (the “notes”) in a private offering (the “offering”) to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”).  WisdomTree also granted the initial purchaser of the notes an option to purchase, for settlement during a period of 13 days from, and including, the date the notes are first issued, up to an additional $22.5 million aggregate principal amount of the notes. The sale of the notes to the initial purchaser is expected to settle on June 16, 2020, subject to customary closing conditions, and is expected to result in approximately $145.5 million (or approximately $167.3 million if the initial purchaser exercises its option to purchase additional notes in full) in net proceeds to WisdomTree after deducting the initial purchaser’s discount and estimated offering expenses payable by WisdomTree.

WisdomTree intends to use the net proceeds from the offering to repay and terminate its existing senior secured credit facility and purchase shares of its common stock as follows:

• approximately $121.6 million of the net proceeds from the offering and cash on hand and, to the extent the initial purchaser exercises its option to purchase additional notes to close concurrently with the closing of the base offering of $150.0 million aggregate principal amount of notes, the net proceeds from the sale of such additional notes, to repay amounts outstanding under, and terminate, WisdomTree’s senior secured credit facility, and
  
  
• approximately $23.9 million of the net proceeds from the offering to repurchase shares of its common stock from certain purchasers of the notes in privately negotiated transactions effected through the initial purchaser, as its agent, concurrently with the settlement of the offering. The purchase price per share of WisdomTree’s common stock in such repurchases is equal to the last reported sale price of WisdomTree’s common stock of $3.70 per share on June 9, 2020. The share repurchases could have the effect of increasing, or limiting a decline in, the market price of WisdomTree’s common stock concurrently with or following the pricing of the notes, and could result in a higher effective conversion price for the notes.

Key terms of the notes are as follows: