Super Micro drops after planned $2 bln convertible bonds sale unveiled

** Shares of AI server maker Super Micro Computer SMCI.O down 3.9% before the bell to $43.54 as it looks to raise capital

** San Jose, California-based SMCI announces private offering of $2 bln 5-yr convertible bonds (CBs)

** It plans to use portion of net proceeds to fund capped calls, derivative transactions employed to mitigate shareholder dilution, and up to $200 mln to repurchase its shares from the CB buyers

** Co says remaining proceeds to be used for general purposes, including to fund working capital for growth and business expansion

** SMCI, which makes high-performance servers featuring chips from AI-darling Nvidia NVDA.O, among other chipmakers, has $27 bln market cap

** SMCI shares on Fri closed up 1.9% at $45.32, up ~49% YTD

** Of 18 analysts covering SMCI, recommendation breakdown is 7 "buy", 9 "hold" and 2 "sell"'; median PT of $37 unchanged from last month but down from $54.50 on Apr 23, LSEG data reflects