RXO Announces $350M Common Stock Offering With Option For Underwriters To Purchase Additional $52.5M In Shares
Portfolio Pulse from Benzinga Newsdesk
RXO has announced a $350 million common stock offering, with an option for underwriters to purchase an additional $52.5 million in shares. This move is likely aimed at raising capital for the company.
September 09, 2024 | 12:20 pm
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RXO's announcement of a $350 million common stock offering, with an option for an additional $52.5 million, is likely to impact its stock price as it increases the supply of shares in the market.
The issuance of new shares typically leads to a dilution of existing shares, which can put downward pressure on the stock price. The additional option for underwriters to purchase more shares further increases potential dilution. This move is significant for investors as it indicates a capital-raising strategy by RXO.
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