Chegg Repays Final Convertible Notes and Becomes Debt‑Free
Chegg Inc (NYSE:CHGG) announced that it has fully retired its 0% convertible senior notes that were due on September 1 2026, repaying the remaining $33.9 million at maturity. The repayment eliminates all outstanding debt, leaving the company with a debt‑free balance sheet. Following the announcement, Chegg’s shares rose 3.4% in after‑hours trading on Tuesday.
At June 30 2026, Chegg reported cash, cash equivalents and investments of $72 million. After deducting the $33.9 million note repayment, the pro‑forma cash position is approximately $38 million. CFO David Longo stated that achieving a debt‑free balance sheet reflects significant progress in strengthening the financial position, reduces costs, improves cash flow, and provides greater financial flexibility to execute the company’s strategy and create value for shareholders.
Chegg operates as a learning and employability platform delivering AI‑powered educational services to students and lifelong learners, as well as workforce development solutions to businesses.