Red Violet droops on $100 mln stock offering
RDVT•Use of proceeds and Q2 estimates
The company, which has about 14.1 million shares outstanding, intends to use net offering proceeds for working capital and general purposes, including potential acquisitions.
Raymond James and Needham were joint bookrunners.
In an SEC filing late Wednesday, the company also provided second-quarter estimates for revenue of $26.71 million and adjusted EBITDA of $11.22 million.
Shares fall after follow-on pricing
Analytics and information solutions provider Red Violet's RDVT.O shares fell 8.1% to $62.72 premarket on Thursday after a $100 million follow-on was priced.
The Boca Raton, Florida-based firm late Wednesday sold about 1.67 million shares at $60 each, a 12.1% discount to the last sale.
Recent stock performance and analyst views
Through Wednesday, RDVT had risen 57% over the past three months, putting it up 20% year to date. The stock hit a record intraday high of $71.19 on Monday.
Two analysts covering RDVT rate it a "buy" with price targets of $62 and $81, according to LSEG data.
