ChargePoint Raises $232M in path to profitability by 2024
ChargePoint (CHPT) Raises $232M in path to profitability by 2024
EV charging company, ChargePoint (NYSE:CHPT) announced Wednesday that the company has received a substantial commitment from institutional investors.
These investors, including the primary investor who was involved in ChargePoint’s issuance of $300 million in convertible notes back in April 2022, have agreed to acquire $175M worth of common stock through the Company’s “at-the-market” (“ATM”) offering facility.
Furthermore, during the third fiscal quarter of 2024, ChargePoint successfully raised $57M in additional funds through the ATM facility.
“We are pleased to secure $232M in funding this quarter, which supports our stated goal of adjusted EBITDA profitability in the fourth fiscal quarter of next year,” said ChargePoint CEO, Rex Jackson.
Separately, ChargePoint, in collaboration with the primary investor of the Notes, has entered into a binding term sheet outlining their agreement to extend the maturity date of the Notes from April 1, 2027, to April 1, 2028. The change increases the cash coupon rate from 3.5% to 7% annually, increasing the payment in kind coupon rate from 5% to 8.5% annually, and adjusting the conversion price from $24.03 per share to $12.00 per share.
Shares of CHPT are down 13.02% in afternoon trading on Wednesday.
