LegalZoom Reveals Pricing Of Stockholder Equity Offering At 10% Discount
Portfolio Pulse from Shivani Kumaresan
LegalZoom.com Inc (NASDAQ:LZ) has priced a public offering of 14 million shares of its common stock by a stockholder at $10.00 per share, a 9.8% discount to the company’s closing price on September 6, 2023. The secondary offering was upsized from the previously announced offering of 13 million shares. LegalZoom also intends to repurchase $45.1 million worth of shares in a private, non-underwritten transaction.
September 07, 2023 | 10:22 am
News sentiment analysis
Sort by:
Ascending
NEGATIVE IMPACT
LegalZoom's public offering of 14 million shares at a discount could put downward pressure on the stock price in the short term. However, the company's plan to repurchase $45.1 million worth of shares could offset some of this pressure.
The discounted public offering increases the supply of LegalZoom shares in the market, which could lead to a decrease in the stock price. However, the company's plan to repurchase shares reduces the number of shares in circulation, which could help support the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100