TUALATIN, Ore. (AP) -- CUI Global anticipates about $38.1 million in net proceeds from a follow-on offering of 8.4 million shares of stock.
The Tualatin, Ore. company said Friday that it expects to use approximately $26.2 million of the proceeds to pay for the 17 million pounds sterling ($26.2 million) acquisition of Orbital Gas Systems Ltd. CUI Global announced the buyout in March.
It plans to use the remaining net proceeds to pay down about $2 million of long-term debt and for working capital and general corporate purposes.
The public offering was priced at $5 each. This is a 4.2 percent discount to its Thursday closing price of $5.22. The company's stock fell 2 cents to $5.20 in premarket trading.
CUI Global Inc. is giving the underwriters an option to buy an additional 1.3 million shares to cover any excess demand.
The offering is expected to close on Wednesday.
- Investment & Company Information