| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers O > Headlines for Okta Inc. > News item |
Morning Commentary: Okta convertible notes in focus early, lower on hack
By Abigail W. Adams
Portland, Me., Oct. 23 – It was a slow start to the day in the convertibles secondary space as activity surrounding new issuance dwindled and broader markets remained indecisive about the future of interest rates.
Equity indexes saw a heavy open after the 10-year Treasury yield broached the 5% threshold with markets pricing in a higher for longer rate environment.
However, indexes pared their losses with some turning positive as buyers returned to Treasuries and knocked the 10-year Treasury yield off of its historic height.
The Dow Jones industrial average was down 36 points, or 0.11%, the S&P 500 index was down 0.05%, the Nasdaq Composite index was up 0.06% and the Russell 2000 index was down 0.23% shortly before 11 a.m. ET.
There was $40 million in reported volume about one hour into the session with few names seeing concentrated trading activity.
However, topical news pushed Okta Inc.’s convertible notes into the spotlight.
The high-premium notes were lower outright as stock fell more than 7% after the cybersecurity company disclosed a data breach.
Okta’s 0.125% convertible notes due 2025 were down about 1 point outright.
The notes were changing hands at 89.75 versus a stock price of $69.82 early in the session, according to a market source.
The yield was just north of 6%.
Okta’s 0.375% convertible notes due 2026 were down 1.5 points outright.
They were changing hands at 85.875 versus a stock price of $69.71.
The yield was 6.25%.
There was $2 million in reported volume.
Okta’s stock was trading at $68.75, a decrease of 9.05%, shortly before 11 a.m. ET.
Okta’s stock was taking a hit after the identity and access management software company disclosed unidentified hackers had accessed customer files through stolen credentials.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.