The language-learning software company actually won't make any money from the deal.
Language-learning software company Rosetta Stone (RST) announced last week that it would be offering 3.5 million shares in a secondary offering, at $16 apiece. When word of the offering hit the news, shares were promptly punished, falling 12%.
But this is no ordinary share offering, says Motley Fool contributor Brian Stoffel. Listen in to why the company actually won't be making any money from the deal, and why it really shouldn't affect anyone's long-term thesis for the company.
Fool contributor Brian Stoffel owns shares of Rosetta Stone. The Motley Fool recommends Rosetta Stone. The Motley Fool owns shares of Rosetta Stone. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.
