** Shares of cybersecurity firm Rubrik RBRK.N, backed by Microsoft MSFT.O, up 0.1% premarket to $87.65 after capital raise
** Palo Alto, California-based Rubrik early Weds announced pricing offering of $1 bln 0% 5-yr convertible bonds
** Initial conversion price of $124.76 is 42.5% above stock's last close
** RBRK shares on Tues closed down 6% at $87.55 after co announced $1 bln offering to fully repay ~$328 mln of outstanding loans under its credit agreement, and for potential acquisitions or strategic investments, among other purposes
** Co expects to use $77 mln of proceeds to pay for capped calls to offset dilution; cap price is initially at $175.10, which represents 100% premium to last sale
** Through Tues, stock up 34% YTD
** Of 21 analysts covering RBRK, recommendation breakdown is 18 "strong buy" or "buy" and 3 "hold" ratings; median PT of $110 up from $80 a month ago - LSEG latest data
** Co IPOd in Apr 2024 at $32
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.