Redwire falls after upsized $260 mln stock sale

Redwire

17/06/2025 12:37

** Shares of space infrastructure technology firm Redwire RDW.N down 13.4% premarket to $17.81 after above-target equity raise

    ** Jacksonville, Florida
    -based Redwire announces ~15.5 mln shares at $16.75 for $260 mln gross raise

    ** Offering size boosted from $200 mln, prices at 18.6% discount to stock's close on Mon

    ** Co says intends to use net offering proceeds for general purposes to fund growth, repurchase portion of its convertible preferred stock, and repay note issued in connection with $925 mln cash-and-stock acquisition of Edge Autonomy, which it

      completed last week

    ** JP Morgan, BofA and Morgan Stanley are lead bookrunners for the offering

    ** Co has $2.6 bln market cap based on ~127 mln shares outstanding

      ** Through Mon, RDW shares up 25% YTD and have surged 68% over the past month. Stock closed at $5.90 a year ago

    **

      All 6 analysts covering RDW are bullish and the median PT is $22.50, LSEG data reflects

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))