Please ensure Javascript is enabled for purposes of website accessibility

LinkedIn Increases Stock Offering to $1.2 Billion

By Tim Brugger - Sep 5, 2013 at 5:36PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The business social networking king opts to up its stock offering, and prices the new shares.

Following the news on Sept. 3, 2013 that LinkedIn (LNKD.DL) would issue $1 billion worth of new, class A common stock to the public, it has decided to increase the offering to 5,381,166 shares, from 4,165,972, LinkedIn announced yesterday. The company also said it's priced the public offering at $223 per share, bringing the total value to approximately $1.2 billion, according to LinkedIn's press release. 

The stock closed at $238.93 on Sept. 4, 2013.

Including the additional shares, LinkedIn will have 98,948,071 shares of class A common stock outstanding, along with 18,336,655 of class B shares, according to its Sept. 3, 2013 SEC filing. The underwriters of the offering have a 30-day option to purchase up to 807,174 additional shares, LinkedIn said.

According to the company's announcement on Sept 3, 2013, proceeds from the stock offering will be used to gain "financial flexibility and to further strengthen its balance sheet." LinkedIn added it may also use some of the capital raised from the offering for "potential strategic acquisitions of, or investments in, complementary businesses, technologies or other assets."

The enhanced stock offering is expected to close on Sept. 10, 2013.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

LinkedIn Corporation Stock Quote
LinkedIn Corporation
LNKD.DL

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
338%
 
S&P 500 Returns
119%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/18/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.