Seagate Technology PLC's stock surged 6.32% during intraday trading on Thursday. The significant upward movement captured investor attention as trading commenced.

The sharp rise follows the company's announcement that it has entered into separate, privately negotiated exchange agreements with holders of its subsidiary's 3.50% Exchangeable Senior Notes due 2028. Seagate will exchange $600 million in principal amount of these notes for approximately $599.2 million in cash and a number of its ordinary shares.

This corporate action is expected to close around February 17, 2026, and will result in the retirement of the exchanged notes. Upon completion, approximately $400 million in aggregate principal amount of the notes will remain outstanding. Investors appear to be responding positively to this move, which reduces the company's debt burden and potentially strengthens its financial position.