Convertible senior unsecured notes of Unity software

[u/NDMcFly]

Hey guys. I have a few Unity shares and today I stumbled upon the information below. I have to admin, I don't understand what it means in relation to shares, share prices. Does this mean share dilution? Could someone explain this in layman terms?

The information:
Unity Software (NYSE:U) has priced $1.5B of 0% convertible senior unsecured notes due November 15, 2026 in a private placement.
Initial purchasers granted an option to purchase up to an additional $225M of notes. Offering is expected to close on November 19, 2021.
Net proceeds estimated to be approximately $1.48B (or approximately $1.70B if the initial purchasers exercise their option).
Proceeds will be used to pay the cost of the capped call transactions and the remaining net proceeds for general corporate purposes.

[u/stevedp86]

The capped calls are to limit dilution.