From Home Furnishing Business
XPO Logistics Sets Secondary Stock Offering
2017 by Larry Thomas in Economic News, Financial Reports, Industry
XPO Logistics (NYSE: XPO), a major provider of freight forwarding, last-mile delivery services, trucking, and related logistics services, said it will issue more than 11 million new shares of common stock in a secondary public offering.
The shares have not yet been priced, and the company said an unspecified number of the new shares will be subject to a forward purchasing agreement, in which underwriters J.P. Morgan and Morgan Stanley will purchase some of the shares for a set price at a later date.
Shares covered by the agreement would be delivered to the underwriters within 12 months of the offering date, XPO said.
The company said money raised from the offering will be used for general corporate purposes, which may include acquisitions and the repayment or refinancing of outstanding debt.
The company said 11 million shares will be part of the offering, and underwriters have a 30-day option to purchase an additional 1.65 million shares.