Gates Announces Prices $125M Secondary Offering Of 20M Ordinary Shares Of Stock
Portfolio Pulse from Benzinga Newsdesk
Gates Industrial Corporation (NYSE: GTES) announced the pricing of a $125M secondary offering of 20M ordinary shares by selling stockholders affiliated with Blackstone Inc. The offering is expected to close on August 21, 2024. Gates will not receive any proceeds from the sale. Additionally, Gates will repurchase $125M of its shares from Citigroup Global Markets Inc. following the offering.
August 16, 2024 | 12:29 pm
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Gates Industrial Corporation announced a $125M secondary offering of 20M shares by Blackstone affiliates, with an additional 3M shares option for underwriters. Gates will also repurchase $125M of its shares.
The secondary offering by Blackstone affiliates will not directly impact Gates' finances as the company will not receive any proceeds. However, the share repurchase program indicates confidence in the company's value, which could stabilize or slightly boost the stock price. The overall impact is neutral in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100