Aspen Aerogels falls after announcing stock offering, GM loan agreement

Aspen Aerogels

29/11/2022 21:51

** Aspen Aerogels Inc's  ASPN.N  shares down ~8% post-market
as co looks to raise equity, and announces loan agreement with
General Motors  GM.N 
    ** Aspen, which makes a product to help prevent EV battery
fires, commences $200 mln stock offering with Cowen and Barclays
as jt bookrunners
    ** Co to use net offering proceeds to help fund construction
of second manufacturing facility in Georgia
    ** Koch Investments Group affiliate (top Aspen shareholder
with ~13% stake, per Refinitiv) has indicated to buy up to $100
mln of offering shares
    ** Also, Aspen enters into $100 mln secured lending
commitment with GM affiliate in connection with equipping its
Georgia facility  urn:newsml:reuters.com:*:nPn9DY0N0a
    ** On Jun 29, ASPN shares plunged ~43% after co launched
$225 mln stock, $150 mln convertible bond deals, and then
scrapped that planned capital raise citing market conditions
    ** ASPN shares on Tues closed down 5.2% at $11.34, extending
YTD loss to 77%
    ** Co has ~40.9 mln shares outstanding for roughly $465 mln
market cap, per Refinitiv
 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))