Veritone plunges on deep-discounted direct stock deal
BUZZ-Veritone plunges on deep-discounted direct stock deal ** Shares of enterprise AI solutions provider Veritone VERI.O down 19.3% at $0.96 before the bell on Thurs after equity raise news
** Irvine, California-based VERI agrees to sell 20 mln shares in registered direct offering for $15 mln gross proceeds
** Offering price of $0.75 is 37% discount to stock's last close
** VERI, which has ~100.5 mln shares outstanding, to use net proceeds to repay and/or restructure some convertible debt and for working capital and general purposes
** Needham and Alllance Global Partners co-placement agents for offering
** Through Weds, stock shed 74% YTD
** 3 analysts covering the stock rate it "buy", 1 "hold"; median PT $8, per LSEG data
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))
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Veritone plunges on deep-discounted direct stock deal
Brief: Veritone - Now Estimates $3.90 Million-$4.50 Million In Employee Transition Costs And $0.70 Million-$0.80 Million In Exit Costs