Karooooo plunges after $75 million secondary offering

Karooooo

12/06/2025 15:55

** Shares of fleet-management services provider Karooooo KARO.O slide 18.1% to $48.77

** Singapore-based KARO announces pricing of secondary offering of 1.5 million shares

** Offering priced at a 16% discount to stock's last close

** CEO Zak Calisto sold the shares at $50 apiece for gross proceeds of $75 million

     ** After the offering, Calisto will continue to own 58% of KARO

** UBS Investment Bank, William Blair and Standard Bank were the joint active lead book-running managers for the offering

** All 2 brokerages covering the stock rate "buy" or higher; median PT is $50.50 - data compiled by LSEG

** As of last close, KARO stock up 31.8% YTD

(Reporting by Arasu Kannagi Basil in Bengaluru)

((ArasuKannagi.Basil@thomsonreuters.com;))