Unity (U) raised $1 billion of debt this week

While Unity’s (U) Q3 2023 earnings report included a lot of information about the company’s operations, there was some key information left off it. Specifically the fact that just yesterday, Unity raised a billion dollars in debt, just a day before the company reported earnings. Conveniently, the company wasn’t required to report this move in its earnings report due to the Securities Act of 1933.

Details about Unity’s debt raising can be found in a fresh filing to the SEC. It’s a lengthy document, but the information we’re referencing can be found on page 3.

On November 8, 2022, we sold $1,000,000,000 in aggregate principal amount of our 2.0% Convertible Senior Notes due 2027 (each, a “Note” and, collectively, the “Notes”), consisting of (i) $940,000,000 in aggregate principal amount of the Notes sold to SLP VI Union Holdings, L.P., SLP VI Union Holdings II, L.P. and SLA Union Holdings, L.P. (collectively, the “Silver Lake Purchasers”) and (ii) $60,000,000 in aggregate principal amount of the Notes sold to Sequoia Capital Fund, L.P. (the “Sequoia Purchaser” and, together with the Silver Lake Purchasers and others identified in the section of this prospectus titled “Selling Securityholders”, the “Selling Securityholders”). The offer and sale of the Notes to the Selling Securityholders was effected in transactions exempt from the registration requirements of the Securities Act of 1933, as amended (the “Securities Act”)

Unity stock was down following the earnings news today. In fact, the stock hit an all-time low in after-hours trading, valued as low as $21.33. It’s been a busy week for financial news in general, so be sure to visit our market news page to catch up on anything you may have missed.