Globant slips after co announces stock offering, discloses bitcoin buy

GLOBANT

25/05/2021 18:06

** U.S.-listed shares of Globant  GLOB.N  down 2.7% at
$211.50 as IT services co looks to raise equity
    ** Luxembourg-based firm late Mon said plans to sell 1 mln
shares for general corp purposes, including working capital,
capex and potential acquisitions  urn:newsml:reuters.com:*:nPn3CsGRpa
    ** Goldman Sachs, Citigroup and JP Morgan joint bookrunners
for offering, which is slated to price Tues AMC
    ** GLOB also late Mon revealed it bought 500 bitcoins during
Q1, per regulatory filing https://www.sec.gov/Archives/edgar/data/1557860/000110465921071235/tm2116803d1_ex99-1.htm
    ** Co lists crypto purchase under intangible assets because
it "lacks physical form and there is no limit to its useful
life"
    ** Co did not disclose how much it paid for bitcoin  BTC= 
 BTC=BTSP ; said will not recognize gains, if any, only upon
sale of the crypto assets
    ** GLOB has ~39.6 mln shares outstanding for ~$8.6 bln
market cap through Mon close, per Refinitiv data
    ** With move on Tues, shares down ~3% YTD

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com 1-332-219-1430))