Dynatrace drops after unveiling $1.25 bln convertible
DT•Stock and analyst backdrop
The company has a $14.2 billion market cap.
The stock finished down 3% on Friday, trimming its year-to-date gain to 13%.
The average rating of 36 analysts is "buy"; the median price target is $60, up from $45.50 a month ago, according to LSEG data.
Private placement of exchangeable notes
Boston, Massachusetts-based Dynatrace said it is offering privately $1.25 billion of exchangeable senior notes due Sept. 1, 2031.
The company intends to use the net proceeds for general corporate purposes. It also intends to use some proceeds to pay the cost of hedge transactions, and to use up to approximately $200 million to repurchase shares from investors in the exchangeable notes.
Shares fall after planned note offering
AI-enhanced software firm Dynatrace DT.N shares were down 3% at $47.68 premarket on Monday as it seeks a capital raise.
