Why PagerDuty Stock Dropped After-Hours

PagerDuty, Inc. PD shares are trading lower in Monday's after-hours session after the company announced a proposed private placement of $350 million of convertible senior notes.

What To Know: PagerDuty announced its intention to offer a $350 million principal amount of convertible senior notes due in 2028 and to grant the initial purchasers of the notes an option to purchase up to an additional $52.5 million principal amount of notes.

The company stated its intentions for the use of the net proceeds from the offering, including repurchasing for cash certain of its 1.25% convertible senior notes due 2025 and shares of PagerDuty's common stock.

Related Link: General Motors Offers United Auto Workers 20% Wage Hike: Report

PD Price Action: Shares of PagerDuty were down 5.63% at $20.60 in the after-hours session at the time of publication, according to Benzinga Pro.

Read Next: Why Ventyx Biosciences Stock Fell After-Hours

Photo: Innova Labs from Pixabay