SS&C prices $1.05B convertible note deal to refinance 2027 debt
What's the deal? SS&C TechnologiesDealroom has a profile for this one. Try Dealroom → has priced $1.05 billion of 2.75% convertible senior notes due 2031, upsizing the private placement from an initially announced $1.0 billion. The notes were sold to qualified institutional buyers, with settlement expected on November 6, 2026.
The details: The conversion price is set at about $99.46, a 25% premium to the November 4 share price. SS&C granted initial purchasers an option to buy up to $150 million in additional notes, and estimates net proceeds of roughly $1,029 million.
Why now? This is a refinancing move, not growth funding. SS&C intends to retire all $2 billion of its 5.5% senior notes due September 2027, using the proceeds alongside planned incremental term loans and its revolving credit facility.
What's the endgame? The company will also spend about $99 million on capped-call transactions to limit dilution if the notes convert, and repurchase roughly $100 million of its common stock. In parallel, it plans up to $750 million of incremental Term B-8 loans, $240 million of Term A-9 loans, and a $400 million revolver increase, extending key maturities to November 2031.
By the numbers: SS&C reported third-quarter net leverage of 2.63x and $525 million in cash. The $1.05 billion deal ranks above the 90th percentile by size among US fintech post-IPO convertible rounds, based on a sample of 88.
The signal: The upsizing points to solid investor demand and lets SS&C swap higher-coupon debt for longer-dated financing at a lower 2.75% rate. It addresses a material 2027 maturity well ahead of time — but does not, by itself, signal a shift in the company's business outlook.
Read more: marketscreener.com, Business Insider
Image credit: Generated with Gemini
