XPO Logistics (NYSE:XPO) is preparing to ship a big load of its common stock. The company announced it is floating 8 million shares of it in an underwritten public flotation. Additionally, it expects to grant the issue's underwriters a 30-day purchase option for up to an additional 1.2 million shares.
XPO Logistics said it plans to use the proceeds of the issue to help fund its acquisition of in-home residential delivery services provider 3PD. The cost of the deal, which was announced last month, is $357 million in cash and $8 million in restricted XPO Logistics stock.
The joint book-running managers of the offering are Morgan Stanley and the Securities units of Credit Suisse and Deutsche Bank.
At the moment, XPO Logistics has 18.2 million shares outstanding, and its stock trades at $23.95 per share.