(Automated translation by Reuters, please see disclaimer
October 31 – ** Shares of Applied Digital APLD.O fell 5.1% to $6.98 on Thursday, amid weakness in the shares following a capital raise by the company
** Wall Street retreats Thursday on warnings from Meta and Microsoft, sending Nasdaq .IXIC down 2% .N ** Data center operator announces pricing for private bond offering early Thursday 6-year convertibles at 2.75% in the amount of $375 million
**The size of the operation was increased to $300 million; the initial conversion price of $9.75 represents a 32.5% premium to the stock’s last close
**The company plans to use approximately $84 million of the net proceeds to fund stock repurchases, approximately $43 million to pay for capped call options and the remainder for general corporate purposes
** APLD has 215.4 million shares outstanding, giving it a market capitalization of approximately $1.5 billion ** Earlier this month, the company reported quarterly revenue up by 67% YoY to $60.7 million, smaller-than-expected adjusted loss and appointment of new CFO
** With Thursday’s decision, the stock is up ~4% year-to-date after more than tripling in 2023
