AI infrastructure co WhiteFiber tumbles on convertible offering plans
BUZZ-AI infrastructure co WhiteFiber tumbles on convertible offering plans ** AI infrastructure firm WhiteFiber's WYFI.O shares down 20.6% post market to $21.50 as it seeks capital
** WYFI offering privately $250 mln convertible bonds due 2032
** Co intends to use net offering proceeds primarily for data center expansion, potential acquisitions, partnerships and joint ventures, among other uses
** It also intends to use some proceeds to pay the cost of zero-strike call option transactions to facilitate hedging
** New York City-headquartered co has roughly $1 bln market cap
** WYFI shares ended down 10.8% at $27.07 on Tues, cutting YTD gain to 71%
** Co went public last Aug in $159 mln IPO priced at $17
** 10 of 11 analysts rate the stock "strong buy" or "buy", 1 "hold"; median PT $38, 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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