What's Going On With Hewlett Packard Stock After-Hours?

Hewlett Packard Enterprise Company HPE shares are trading lower after Monday's closing bell. The company announced it has commenced a public offering of $1.35 billion (27 million shares) of Series C mandatory convertible preferred stock. 

The Details: Hewlett Packard also expects to grant the underwriters a 30-day option to purchase up to an additional $150 million (3 million shares) of preferred stock to cover over-allotments, if any.

Hewlett Packard said it intends to use the net proceeds from the offering to fund all or a portion of the consideration for the previously announced pending acquisition of Juniper Networks, Inc., to pay related fees and expenses, and, if any proceeds remain, for other general corporate purposes.

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The company said each share of preferred stock will have a liquidation preference of $50 per share,  and each share will automatically convert into a number of shares of common stock on or around Sept. 1, 2027, based on the applicable conversion rate.

Hewlett Packard intends to apply to list the preferred stock on the New York Stock Exchange under the symbol “HPEPrC.”

HPE Price Action: According to Benzinga Pro, Hewlett Packard shares are down 6.08% after-hours at $16.53 at the time of publication Monday.

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