Home

Allied Capital raises $175M in stock offering

By Associated Press
May 16, 2008 | Comments (0)

Recs

0

Allied Capital Corp., which lends to and invests in medium-sized businesses, said Friday it has completed the sale of 9 million shares at $20.45 apiece for proceeds of $184.1 million.

The company raised $175.3 million, after expenses.

Allied Capital has granted the underwriters the option to buy up to 1.35 million additional shares to cover any overallotments. The company plans to use proceeds from the offering to repay debt, invest in debt or equity securities and for general corporate purposes.

The offering is expected to close on May 21, pending customary closing conditions.

Morgan Stanley, Citi, Deutsche Bank Securities and Merrill Lynch were among a large syndicate of underwriters.

Allied Capital shares dropped $1.31, or 6.1 percent, to $20.10 in afternoon trading. Shares have traded between $17.75 and $33.35 in the past 12 months.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

DocumentId: 646970, ~/articles/articlehandler.aspx, 12/2/2008 7:33:44 AM,

Sign up for FREE Motley Fool site access to keep reading:

“Allied Capital raises $175M in stock offering”

Signing up allows you to comment on articles and on the discussion boards.

It's completely FREE and will take only 10 seconds.

Privacy / Legal Information

We will use your email address only to keep you informed about updates to our web site and about other products and services that we think might interest you. The Motley Fool respects your privacy. Please read our Privacy Statement

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.