Hims & Hers Sinks Pre-Market After Debt Deal Fuels Dilution Talk
Hims & Hers Health shares fell 4% pre-market Monday after announcing a $300 million convertible note sale, with an option for buyers to purchase another $45 million. The move follows a first-quarter net loss of $92.1 million and a drop in gross margin. Proceeds will help fund the planned $1.15 billion Eucalyptus acquisition and technology investments. The notes mature in 2032 and pay interest twice a year.