GrafTech drops as Brookfield to sell 20 mln shares

Brookfield Business Partners LP

15/01/2021 12:13

** GrafTech International  EAF.N  shares down ~7% premarket
as top holder again looks to cut its stake
    ** Graphite electrodes maker late Thurs said Brookfield
Asset Management  BAMa.TO  to sell 20 mln shares  urn:newsml:reuters.com:*:nBwVYz6Ba
    ** Sources say sole bookrunner Morgan Stanley marketing the
shares in range of $10.90-$11.10, up to 6.1% discount to stock's
last sale
    ** Offering would take Brookfield's holdings to ~127.7 mln
shares, reducing its stake by 7.5% to ~48%, per SEC filing https://www.sec.gov/Archives/edgar/data/931148/000119312521009169/d912765d424b7.htm#supprom912765_8
    ** Just a month ago, Brookfield offloaded 8.5 mln shares in
secondary offering priced at $9.15  urn:newsml:reuters.com:*:nEOLbdBzym, and in Nov it
sold 8.25 mln shares directly to an institutional investor at
$7.05 offer price  urn:newsml:reuters.com:*:nFWN2HW0R9
    ** GrafTech's stock has rallied from record intra-day low
$5.56 in May, as co was hurt by COVID-19 pandemic's impact on
sales and lower steel production levels by its customers

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own.)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com))