"The integrated coffee, tea, extracts and ingredients supplier reported third-quarter net sales of $354.8 million, up 61% from a year earlier and a new quarterly record. Yet the company remained in the red, posting a net loss of $19.1 million, wider than the $14.3 million loss in the same period last year, according to financial results announced earlier this month."
"The notes can be converted to common stock at $5.25 per share, implying potential issuance of about 5.7 million shares if fully converted, according to a filing with the U.S. Securities and Exchange Commission. In simple terms, the deal gives Westrock $30 million in cash today in exchange for a promise to pay 5% interest and, down the road, possibly convert that IOU into stock instead of repaying in cash."
Westrock Coffee reported third-quarter net sales of $354.8 million, a 61% increase year-over-year, setting a new quarterly record. The company posted a net loss of $19.1 million, larger than the prior-year loss of $14.3 million. Westrock raised $30 million through a private placement of 5% convertible senior unsecured notes due 2031, convertible at $5.25 per share and potentially issuing about 5.7 million shares if fully converted. The notes were sold to a small group of institutional and insider investors. The company previously issued convertible notes and expanded its credit facility while bringing new large-scale manufacturing and distribution facilities online in 2024 and 2025.
Read at Daily Coffee News by Roast Magazine
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