Why Ameresco Shares Are Sinking 21% Friday
Shares of Ameresco (NYSE: AMRC), a clean technology integrator of services and energy solutions for businesses and organizations, are down 21% Friday morning after investors absorbed news the company would be offering 3.2 million shares of Class A common stock at $44 per share.
The public offering breaks down as such: The 3.2 million shares consist of 2.5 million to be offered from Ameresco, and 700,000 shares to be offered by certain selling stockholders. Underwriters also have the option to purchase up to 375,000 additional shares from the company and up to 105,000 additional shares from the other selling stockholders. The proceeds of the public offering are expected to be approximately $110 million and the offering is expected to close on March 9. Ameresco management will use the proceeds to repay its outstanding revolving senior secured credit facility, as well as general corporate purposes and working capital.
Image source: Getty Images.
Source Fool.com
