Monster Beverage Corporation Announces Preliminary Results of Tender Offer

Core Points - Monster Beverage Corporation announced the preliminary results of its modified "Dutch auction" tender offer, which expired on June 5, 2024 [1] - A total of approximately 77,418,093 shares were validly tendered at a purchase price of $53.00 per share, with an additional 41,603,083 shares tendered through notice of guaranteed delivery [2] - The company expects to accept for payment an aggregate of 56,603,773 shares at a total cost of approximately $3.0 billion, representing about 5.4% of the outstanding shares as of April 22, 2024 [3] Tender Offer Details - The preliminary proration factor for the tender offer is approximately 47.56%, and shares will be accepted on a pro rata basis, with "odd lots" accepted in full [3] - The final number of shares to be purchased will be confirmed after the expiration of the guaranteed delivery period [4] - Payment for accepted shares will be made in cash, without interest, and the return of all other shares will occur promptly thereafter [4] Future Share Repurchase Plans - Monster may consider purchasing additional shares in the future, subject to market conditions, but cannot repurchase any shares until June 21, 2024 [5] - Future repurchases will depend on various factors, including market price, tender offer results, and the company's financial condition [5] Company Overview - Monster Beverage Corporation is based in Corona, California, and operates through its consolidated subsidiaries, which develop and market a wide range of energy drinks and other beverages [6]