- Splunk (NASDAQ:SPLK) has proposed a private placement of $1.7B in convertible senior notes.
- That will consist of an $850M tranche due 2023 and $850M due 2025.
- Initial purchasers are expected to get an optino to buy up to an additional $127.5M in principal of each of the series.
- Part of the net proceeds will cover the cost of capped call transactions designed to offset dilution from any conversions.
- Shares declined 4.7% today; they're down 0.8% after hours.