DJ Document Security Systems Shares Drop 29% on Public Offering
By Chris Wack
Document Security Systems Inc. shares fell 29% to $3.09 after the company priced an underwritten public offering.
The company said it expects proceeds of $34.5 million.
The public offering equates to 12.3 million common shares at $2.80 a share.
Document Security said it intends to use the proceeds from the offering, together with their existing cash, to fund the development and growth of new business lines, acquisition opportunities, and general corporate and working capital needs.
The company has also granted the underwriters a 45-day option to purchase up to an additional 15% of shares of common stock offered in the public offering to cover over-allotments, if any, which would increase the total gross proceeds of the offering to $39.7 million, if exercised in full.
Write to Chris Wack at firstname.lastname@example.org
(END) Dow Jones Newswires
February 05, 2021 09:53 ET (14:53 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.