Columbus McKinnon Corporation (NASDAQ: CMCO) has declared that it has decided the pricing of an upsized underwritten public offering of 3,750,000 shares of its common stock. The firm has set the price of $48.00 per share for a total gross profit of $180.0 million. The firm has disclosed that it has upsized the offering from the earlier disclosed size of $150.0 million.
Furthermore, the firm has also provided the 30-day option to the underwriter for the acquisition of extra 562,500 shares of the common stock of the firm. The firm also anticipated that it would generate the net profit from the offering of nearly $172.4 million (or $198.2 million if the underwriters utilize their option to buy extra shares in full), after subtracting underwriting markdowns but no other expenses.
Shares of Columbus McKinnon plummeted 8.06% as it lost -4.35 during the trading session of Thursday. The firm has recorded a trading volume of 633.64K as compared to the average volume of 105.52K. In the past 52-weeks of a trading session, the share of the firm fluctuated $21.52 and $57.06 from its 52-week low and high, respectively.
Additionally, the firm is planning to use all of the net profit from the offering (including the net proceeds if the underwriters utilize their option to buy extra shares of common stock) to pay off in part an exceptional loan under its first-lien term provision. The book-running manager of the firm for the offering is J.P. Morgan.