Reported Earlier, Allegro MicroSystems Prices $600M Primary Offering Of 25M Common Shares At $24/Share
Portfolio Pulse from Benzinga Newsdesk
Allegro MicroSystems has priced a $600 million primary offering of 25 million common shares at $24 per share. The proceeds will be used to repurchase shares from its majority shareholder, Sanken Electric Co., Ltd., at the same price.
July 25, 2024 | 7:27 am
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Allegro MicroSystems has announced a $600 million primary offering of 25 million common shares at $24 per share. The proceeds will be used to repurchase shares from its majority shareholder, Sanken Electric Co., Ltd.
The primary offering will increase the number of shares available in the market, which could dilute existing shareholders' value. However, the repurchase of shares from the majority shareholder at the same price may neutralize the impact. The overall effect on the stock price is likely to be neutral in the short term.
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