Netflix announced last night the pricing of an offering of $500M aggregate principal amount of its 5.375% senior notes due 2021. The sale of the notes is expected to close on February 1. Interest on the notes will accrue at a rate of 5.375% per year, and will be payable in cash semi-annually in arrears, beginning on August 1. Netflix said it will use approximately $225M of the net proceeds from the offering to redeem its outstanding 8.50% senior notes due 2017, and intends to use the remaining net proceeds for general corporate purposes, including capital expenditures, investments, working capital and potential acquisitions and strategic transactions.
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