MoneyGram drops on $100 mln equity raise plans

MoneyGram International

07/06/2021 13:38

** MoneyGram International  MGI.O  shares down ~8% at $10.20
premarket as co looks to raise equity
    ** Money transfer firm launches $100 mln ATM
("at-the-market") equity offering program to be handled by BofA
 urn:newsml:reuters.com:*:nPn6G3QSka
    ** Co plans to use net proceeds from share sales to
partially repay debt owed to BofA under credit agreement
    ** MGI has ~79.7 mln shares outstanding for ~$886 mln market
cap, per Refinitiv data
    ** Shares have doubled in 2021 and up 220% over the past 12
months, benefiting from surge in digital transactions amid the
pandemic
    ** Avg rating on MGI among 7 analysts is "hold" and median
PT is $7 (Refinitiv)

 (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))