Dexcom (NSDQ:DXCM) said yesterday that it plans to offer $750 million in convertible senior notes due 2023 in a private placement to institutional buyers. The San Diego, Calif.-based company also expects to give buyers a 13-day option to buy up to an additional $100 million aggregate principal amount of notes.

The notes will mature on Dec. 1, 2023, Dexcom reported in an SEC filing. The company plans to use up to $100 million of the net proceeds to repurchase shares, as well as pay the cost of the convertible hedge transactions that it expects to enter into with one or more of the initial purchasers of the notes. The rest of the offering’s net proceeds will be used for working capital and general corporate purposes, Dexcom said. Earlier this month, Dexcom announced that it would pay $250 million upfront in stock to Verily in an amended collaboration and licensing deal. The two companies are working to develop a second-generation continuous glucose monitoring system.

The updated deal also notes that the companies could collaborate on additional products and software. The new agreement structure makes Dexcom the preferred CGM device supplier for Verily’s Onduo franchise and its Type 2 diabetes management program, the company added. According to the terms of the deal, Dexcom is slated to make an upfront payment of $250 million in shares of its common stock, with additional milestones of up to $280 million contingent upon product launch and revenue milestones.