Meta prices $12.5 billion preferred shares and $25 billion common shares offering

Meta announced two concurrent underwritten offering pricings on October 26. The first is 250 million A-series depositary shares, each representing a 6.50% mandatory convertible A-series preferred share, with an offering price of $50 per share, raising approximately $12.5 billion. The second is an upsized A-class common stock offering pursuant to a forward sale agreement, with the scale increased to $25 billion and an offering price of $625 per share. The preferred shares have an annualized dividend of 6.50% and will be mandatorily converted on August 15, 2029. If C-class common stock is issued in the future, the conversion target may be changed to C-class shares. The underwriters were granted an over-allotment option for this issuance. The two offerings are independent of each other and are not preconditions for settlement. Morgan Stanley and Goldman Sachs & Co. LLC act as joint book-running managers. The initial forward price is approximately $622.92, and the funds will be used for general corporate purposes.