Coinbase Buys $150 Million In Its Own Corporate Bonds!

<p>&nbsp;"Wow, Coinbase seems to be getting bolder to take drastic measures."</p><p><br /></p><p>San Francisco-based Coinbase plans to buy back $150 million of $1 billion in bonds set to mature in 2031 with Citigroup Global Markets managing the offering.</p><p><br /></p><p>Investors who choose to participate in the buyback and sell their bonds before August 18, 2023 will be rewarded with a premium of $645 on the bond's face value* and the offer includes a special early tender premium of $30.</p><p><br /></p><p>*The amount to be repaid to the borrower once the bond matures</p><p><br /></p><p>While Coinbase will extend the offer of $615 per $1,000 face value of the bonds for investors who intend to sell their bonds after August 18, 2023 but before the offer end date of September 1, 2023.</p><p><br /></p><p><br /></p><p>However, it is worth noting that both offer prices exceed the price of the unaffected bond on August 4, 2023 equal to about 60 cents per dollar.</p><p><br /></p><p>Coinbase's new move came after its second-quarter earnings report reported revenue of $708 million and an adjusted earnings loss of $0.42, beating analysts' expectations of $628 million by $0.76.</p><p><br /></p><p>In contrast to last year, Coinbase's revenue saw a significant drop from $808 million but the crypto exchange managed to pare its losses as it had a loss of $4.98 per share.</p><p><br /></p><p>Coinbase revealed that the crypto exchange's strong quarter was driven by its continued commitment to improving efficiency and becoming more financially disciplined.</p><p><br /></p><p>It is well known that Coinbase also highlighted a remarkable 50% reduction in operating costs year over year, significant workforce streamlining including a 30% reduction in its current headcount.</p>