
(Aug 10): Cloudflare Inc announced plans for a private offering of US$2.175 billion (RM8.9 billion) of senior convertible notes, after the cybersecurity firm’s guidance boost last week sent shares to an intraday high.
The notes, which will mature in 2031, are convertible into cash or the company’s common stock, the company said in a Monday statement. Cloudflare plans to use the proceeds for general purposes, as well as to cover the cost of derivative transactions it’s taking on as part of the offering.
Cloudflare shares rallied 5.6% on Friday after it lifted its profit forecast for the year, topping analyst expectations. The stock has jumped more than 52% so far this year. Shares dipped slightly in premarket trading on the news of the offering, falling as much as 4%.
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