Why Green Brick Partners Was Plunging Into the Red This Week
At the start of this week, Green Brick Partners (NYSE: GRBK) stock was merrily chugging along on the stock exchange. That soon changed for the worse, especially when the home-building and real estate company announced that an institutional shareholder was fully selling out of its position in the stock.
As a result, Green Brick's shares had declined by nearly 10% week to date as of Friday before market open, according to data compiled by S&P Global Market Intelligence.
On Wednesday, Green Brick announced that the Prelude Structured Alternatives Master Fund was selling 850,000 shares of the company in a public offering. That sale kicked off the next day, at a price of $45.75 per share -- more than $4 below the $49.99 level the stock closed at last Friday. The sale is expected to be effected quickly; Green Brick said it should close this Friday, Sept. 8.
Source Fool.com
