Dropbox Expands Credit Facility and Announces New $1.5 Billion Stock Repurchase Program

Dropbox has amended its secured credit agreement, providing an additional $700 million in delayed draw secured term loans. Proceeds may only be used to repay convertible senior notes due in 2026. The company also announced a new $1.5 billion stock repurchase program. Dropbox is focused on its Core FSS business and new product initiatives, with over 700 million registered users across 180 countries.

San Francisco, CA - Dropbox, Inc. (Nasdaq: DBX) has amended its secured credit agreement, granting the company up to an additional $700 million in delayed draw secured term loans. This amendment was led by Blackstone Credit & Insurance, who served as the lead arranger and lead structuring agent. The proceeds of this new loan facility can only be used to repay the company’s outstanding convertible senior notes due in 2026 .

In addition to the loan amendment, Dropbox has also announced a new share repurchase authorization for the purchase of an additional $1.5 billion of its Class A common stock. This move underscores the company’s commitment to returning value to shareholders.

Dropbox has been focused on its Core FSS business and new product initiatives, with over 700 million registered users across approximately 180 countries. The company aims to design a more enlightened way of working, leveraging its extensive user base and global presence.

The press release includes forward-looking statements regarding the company’s expectations for future performance, including its ability to retain and upgrade paying users, attract new users, and achieve profitability. These statements are subject to various risks and uncertainties, including economic trends, competition, and technological changes .

References
https://www.stocktitan.net/news/DBX/dropbox-amends-secured-credit-agreement-announces-additional-1-5b-fa21p183kwy8.html