Gloo confirmed late Wednesday that its offering of 7 million class A shares is priced at $3.25 each. Underwriters hold a 30-day option to purchase an additional 1.05 million shares, a move that would push total gross proceeds to roughly $26.2 million. The company intends to direct the capital toward acquisitions and investments in new products, services, and technologies.
In section Market Quotes
Gloo Shares Tumble Following Pricing of Equity Offering
Shares of the Boulder-based technology platform slid 16% in premarket trading to $3.35 after the company set the price for its $22.8 million equity raise. The slide adds to a difficult year for the stock, which had already shed 30% of its value heading into Thursday’s session.
Despite the market retreat, key insiders are signaling confidence in the firm. Scott Beck, Pat Gelsinger, and other board members have committed to purchasing at least $6 million worth of shares at the public offering price. The deal, managed by Citizens Capital Markets and Roth Capital Partners, is scheduled to close Friday.
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