Addus Homecare drops on stock offering to fund acquisition

Addus HomeCare

27/06/2024 14:36

** Addus Homecare's  ADUS.O  shares drop 7.1% early Thurs to
$111, nearly 1-mth low, after overnight follow-on priced
    ** Home health services firm late Weds announced 1.5 mln
shares at $108 for $162 mln raise with BofA and Jefferies as jt
bookrunners 
    ** Offering priced at 9.6% discount to stock's last sale
    ** Addus to use ~$81.4 mln of net offering proceeds to pay
down credit facility
    ** Remainder to be used for general corp purposes, including
to fund $350 mln purchase of personal care assets of Gentiva
announced earlier this month
    ** Addus has ~16.4 mln shares outstanding
    ** With move on the session, ADUS shares up ~20% YTD
    

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))