April 1, 2020
Seattle-based Redfin Corporation reached an agreement to sell $110 million of capital stock to Durable Capital Partners LP. The proposed sale consists of $70 million of common stock at $15.61 per share, and $40 million of convertible preferred stock.
Redfin CEO Glenn Kelman says, “Durable’s Henry Ellenbogen has been leading investments in Redfin since 2013, when we were a private company and the market was recovering from the great financial crisis. In chaotic times, he understands our long-term commitments to our culture and our technology, and why those commitments position us to take share in a housing market that is being transformed by this pandemic to be more virtual, convenient and efficient.”
The convertible preferred stock has an annual dividend of 5.5%. The preferred stock has a conversion price of $19.51 per share, is convertible at Durable’s option, and will convert automatically after three years if Redfin’s common stock closes above $27.32 for 30 consecutive trading days.
For comments, questions or concerns, please contact Dennis Kaiser