By Connor Hart

Wolfspeed is getting ready to file for bankruptcy in the next few weeks, as the chip-component maker struggles to address its debt pile, The Wall Street Journal reported, citing sources familiar with the matter. The company is aiming to work out a chapter 11 plan that has support of a majority of its creditors. The expected filing comes after Wolfspeed passed on multiple debt-holder proposals to restructure its debt out of court. Shares tumble 59%, to $1.28, in postmarket trading.

Palo Alto Networks logged higher revenue in its fiscal third quarter, though profit slipped as expenses increased. The cybersecurity company posted adjusted earnings of 80 cents a share on sales of $2.29 billion, ahead of analyst expectations for adjusted earnings of 77 cents a share on sales of $2.28 billion. Palo Alto Network guided for adjusted fourth-quarter earnings in line with analyst views, though its sales outlook missed estimates. Shares fall 3.7%, to $187.21, in after-hours trading.

QXO will launch concurrent, separate offerings for shares of its common stock and depositary shares. The building-products distributor expects aggregate gross proceeds from the offerings of about $1 billion. It will use proceeds from the offerings to pay off debt, which it said will strengthen its position with respect to future acquisition opportunities. Shares decline 8.7%, to $16.75, in postmarket trading.

Take-Two Interactive Software proposed an offering for $1 billion of shares of its common stock. The videogame developer intends to use proceeds from the offering for general corporate purposes, including the repayment of outstanding debt and future acquisitions. The company will sell all of the shares included in the offering, and it will additionally grant underwriters a 30-day option to purchase up to an additional $150 million of shares of its common stock. Shares slide 3.6%, to $229, in after-hours trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

May 20, 2025 19:52 ET (23:52 GMT)

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