Palo Alto Networks Looking to Raise $1.5 Billion in Bonds
Palo Alto reported revenues of $542.4 for the second quarter of 2018, a 28% year-over-year increase
NYSE-listed Palo Alto Networks Inc. has priced its $1.5 billion-worth of convertible senior notes due 2023 in a private placement to qualified institutional buyers, the company said in an updated announcement Tuesday. The unsecured notes will bear a yearly interest rate of 0.75%, to be paid on January 1 and July 1 of each year starting in 2019. The company has also granted initial purchasers a 30-day option to purchase up to $225-worth of additional notes.
Santa Clara-headquartered Palo Alto was co-founded by Nir Zuk, one of the first employees of current rival Check Point Software Technologies Ltd. Palo Alto reported revenues of $542.4 for the second quarter of 2018 (ending January 31, 2018), a 28% year-over-year increase, and has seen an increase of almost 60% in stock value over the past 12 months.
Nir Zuk. Photo: Aner Green