Pinterest Secures $1B Elliott Convertible Notes and Launches $2B Buyback Plan
Pinterest issued $1 billion of 1.75% convertible notes due 2031 at a $22.72 conversion price, reflecting a 30% premium. The board approved $3.5 billion in buybacks, planning nearly $2 billion of repurchases including a $1 billion accelerated program and $500 million under a 10b5-1 plan.
1. Investment Terms
Pinterest sold $1 billion in convertible senior notes maturing March 1, 2031, at a 1.75% annual rate with an initial conversion price of $22.72 per share, reflecting a 30% premium to February closing levels. Elliott’s purchase secures the company long-term funding while minimizing cash interest costs.
2. Repurchase Programs
The board replaced its prior program with a new $3.5 billion repurchase authorization. This includes a $1 billion accelerated share repurchase, up to $500 million under a 10b5-1 plan funded from cash on hand, and follows $473 million of repurchases completed year-to-date.
3. Financial Performance
Pinterest reported record full-year 2025 revenue, driven by sustained user growth over ten consecutive quarters. The platform achieved over 80 billion monthly searches as user engagement reached all-time highs.
4. Execution Timeline
On March 5, 2026, Pinterest will fund the $1 billion accelerated repurchase and expects initial delivery of approximately 80% of shares by the second quarter of 2026. The remaining repurchases under the new authorization are slated for completion through H1 2026.