Silver Lake invests $500 million in Symantec: Reuters

Symantec Corp (SYMC.O), best known for its Norton antivirus software, said investment firm Silver Lake Partners had invested $500 million in the company through convertible debt.

The company also announced a $2.3 billion share buyback and declared a special dividend of $4 per share.

Symantec’s shares were up 8.5 percent at $20.80 in extended trading on Thursday.

The new share buyback takes Symantec’s total capital return program to $5.5 billion, which will be funded through proceeds from the sale of its data storage unit Veritas, Silver Lake’s investment, additional debt and cash, the company said.

Silver Lake will buy $500 million in unsecured convertible notes with an initial conversion price of $21 per share.

Symantec said it would halve its annual dividend to 30 cents per share from the first quarter of 2017 due to the special dividend and lower estimated domestic cash flow after the sale of Veritas.

The company also reported better-than-expected revenue and profit for the third quarter ended Jan. 1.

(Reporting by Abhirup Roy in Bengaluru; Editing by Savio D’Souza)