Peloton Interactive has obtained all the extra funds it wanted. The fast-growing connected fitness company has announced the completion of a convertible bond offer that is generating gross proceeds of $1.0 billion, including an over-allotment option for $125.0 million, which has been exercised faster than planned. The net proceeds of the offering are estimated at about $976.8 million. Peloton has used around $81.3 million to pay the cost of “capped call transactions” with individual investors to protect them from a dilution of their shares after the notes are converted. As previously reported, the senior unsecured obligations may be redeemed by Peloton between February 2024 and February 2026. Bondholders may convert them into shares from August 2025. They carry zero interest and will not bear a fixed interest, but the success of the offering is a testimony to the investors’ interest in the company, whose stock market capitalization has been growing strongly since October. It remains relatively high at around $43.2 billion.