Carvana Issues Preferred Stock for Investor Featured
05 December 2017
Carvana Co. has entered into an agreement to raise $100 million of Class A convertible preferred stock in a private placement with Dundon Capital Partners, an investment fund founded by automotive industry veteran Tom Dundon. Carvana intends to use the proceeds to drive growth, including expanding its offering to more customers across the country.The preferred stock accrues dividends at the rate of 5.5 percent per annum, and will be convertible into shares of Carvana’s Class A common stock at an initial rate reflecting a conversion price of $19.6945 per share. Carvana expects the sale to close promptly.