Simpson Thacher represented the initial purchasers, led by J.P. Morgan Securities LLC as representative, in connection with the offering by DoorDash, Inc. (“DoorDash”) of an aggregate principal amount of $2.75 billion of 0% Convertible Senior Notes due 2030 (the “Convertible Notes”), inclusive of Convertible Notes sold pursuant to the initial purchasers’ full exercise of their option to purchase additional Convertible Notes.
DoorDash used a portion of the net proceeds from the offering to fund the cost of entering into convertible note hedge transactions (after such cost was partially offset by the proceeds from the sale of warrants under certain warrant transactions). DoorDash intends to use any remaining proceeds for general corporate purposes, which may include potential acquisitions and repurchases of shares of its outstanding Class A common stock.
Simpson Thacher also represented certain of the initial purchasers or their affiliates and certain other financial institutions in the convertible note hedge transactions and warrant transactions described above that were entered into concurrently with the Convertible Notes offering.
DoorDash aims to grow and empower local economies by providing services that reduce friction in local commerce and help merchants better connect with consumers in their communities. DoorDash helps merchants establish an online presence, connect with consumers in their communities, and solve mission-critical challenges, including order fulfillment, merchandising, payment processing, and customer support. DoorDash’s primary offerings, DoorDash Marketplace and Wolt Marketplace, operate in over 30 countries serving merchants, consumers, and independent contractors.
The Simpson Thacher team for the transaction included David Azarkh, John O’Connell, Roxane Reardon, Matt Hart, Joseph Hahn, Sofia Elkina, Nate Yang and Andres Cruz (Capital Markets); Jonathan Lindabury, Marc Langer, Lindsey Meyers-Perez and Cadina Mancini (Derivatives); Jeanne Annarumma and Pasco Struhs (Executive Compensation and Employee Benefits); Corina Holland (Intellectual Property); Michael Mann (Tax); and Mike Isby (Environmental).