Tilray Raises Debt Offering to $450M and Prices Convertible Senior Notes
Canadian cannabis company Tilray Inc. (TLRY) announced that it upsized its debt offering to $450 million from $400 million while also pricing the offering of the convertible senior notes due 2023.
Tilray shares were up 0.65% after rising 4.3% in premarket trading.
Tilray also granted the initial purchasers of the notes an option to buy an additional $67.5 million aggregate principal amount of notes. The sale of the notes to the initial purchasers will be settled on Oct. 10.
The company expects to raise $435 million from the that offering.
While Tilray shares jumped, shares of India Globalization Capital Inc. (IGC) fell 26.24% though there was no news prompting the decline. The stock fell 27.57% during Thursday's session.
Tempur Sealy Jumps After Rival Mattress Firm Files for Bankruptcy
Mattress Firm, the country's largest mattress retailer with more than 3,000 stores nationwide, filed for Chapter 11 bankruptcy protection Friday, Oct. 5, sending rival Tempur Sealy International Inc. (TPX) climbing more than 5% in premarket trading.
Mattress Firm recently cited "ineffective brand marketing" as one of its key strategic issues in a public lender update. The company also noted that it was experiencing a shift in supplier relationships and "merchandising decisions that negatively impacted profitability."
Mattress Firm used acquisitions to expand in recent years, acquiring Mattress Giant in 2012, Sleep Train in 2014, and Sleepy's in 2016. The company has closed hundreds of locations recently and could look to close more in order to cut costs.
Along with Tempur Sealy, Amazon.com Inc. (AMZN) could also be a beneficiary of the impending consolidation of the mattress industry. Amazon recently launched AmazonBasics Memory Foam Mattress as a private label option for mattress shoppers.
Amazon's mattress comes in twin, full, queen, king and California king sizes and starts at $130. Amazon joins other companies like Casper, Leesa, Yogabed and Purple looking to take market share from Mattress Firm.
Premarket
U.S. futures are mixed on Friday ahead of the market open one session after rising bond yields sent stocks to their worst day of trading in months.
Dow futures were climbing 0.09%, indicating an open 25 points higher, while S&P futures were rising 0.04%, indicating an open 1 point higher, and Nasdaq futures were falling 0.05%, indicating an open 4 points lower.
Asian markets were also mixed with the Hang Seng and Nikkei falling 0.19% and 0.8% respectively, while the Shanghai Composite gained 1.06%.
In Europe, the FTSE 100 declined 0.62%, the DAX fell 0.6%, and the CAC 40 dropped 0.37% with about four hours left in trading.
