real-time news and commentary for investors
Monday, Aug 19
Zillow prices secondary at $82, raises $205M; shares -2% AH to $83.05
- As announced this morning, Zillow (Z) is issuing 2.5M new shares, and selling 2.52M shares on behalf of existing shareholders. Underwriters have a 30-day option to buy up to an additional 753.5K shares. (PR)
- Zillow only says it will use the proceeds for "general corporate purposes," which could mean one of many things. The company had $208M in cash/investments on its balance sheet as of June 30 and no debt, but it has also been aggressively ramping its sales/marketing spend, and (as today's StreetEasy deal demonstrates) isn't scared to expand via M&A.
- Shares fell 7.1% in regular trading. They remain up 200% YTD.