SentinelOne has completed a private offering of $1.4375 billion in 0.00% Convertible Senior Notes due 2031. The total includes the full exercise of the initial purchasers' option to buy an additional $187.5 million in notes. Net proceeds from the offering were approximately $1.408 billion, which the company used to fund capped call transactions and a concurrent share repurchase, with the remainder allocated for general corporate purposes.
Key Details
- Offering Size: $1.4375 billion aggregate principal amount of 0.00% Convertible Senior Notes, maturing on October 1, 2031.
- Conversion Terms: The notes have an initial conversion price of approximately $31.21 per share, representing a 30% premium over the closing stock price of $24.01 on October 13, 2026.
- Use of Proceeds: Net proceeds of approximately $1.408 billion were used to pay for capped call transactions (~$151.4 million) and to repurchase approximately 6.2 million shares of its common stock for ~$150.0 million.
- Hedging Transaction: The company entered into capped call transactions to reduce potential stock dilution upon conversion of the notes, with a cap price of $48.02 per share (a 100% premium).