Backblaze, Inc. (NASDAQ:BLZE), the storage platform powering AI and data-intensive workloads, today announced that it intends to offer, subject to market and other conditions, $150 million aggregate principal amount of Convertible Senior Notes due 2031 (the "Notes") in a private offering (the "Offering") to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"). Backblaze also expects to grant the initial purchasers of the Notes a 13-day option to purchase up to an additional $22.5 million aggregate principal amount of the Notes, solely to cover over-allotments, if any.

The Notes will be senior, unsecured obligations of Backblaze. The Notes will be convertible into cash, shares of Backblaze's Class A common stock or a combination thereof, at Backblaze's election. The interest rate, initial conversion rate and other terms of the Notes are to be determined upon pricing of the Offering.

Backblaze intends to use a portion of the net proceeds from the Offering to pay the cost of the capped call transactions described below. Backblaze intends to use the remainder of the net proceeds from the Offering for general corporate purposes and capital expenditures.