Palo Alto Networks (PANW) plans to sell $500M of convertible senior notes due 2019. Initial purchasers are expected to have a $75M overallotment option.
The next-gen firewall vendor had $572M in cash/investments as of April 30, and no debt.
Given the recent pace of M&A activity in the security hardware/software space, Palo Alto might be raising funds for an acquisition or two. The company spent $200M on Israeli cybersecurity startup Cyvera in March.
PANW -0.8% AH.