Applied Blockchain Inc (NASDAQ:APLD) on April 12, 2022, announced the pricing of the initial public offering of 8,000,000 shares of the common stock at $5.00 per share.
Market Reaction
On Wednesday, APLD stock fell 3% to $4.85 with 3.11 million shares, compared to its average volume of 3.11 million shares. The stock moved within a range of $4.5000 – 4.9000 after opening trade at $4.70.
Shares will commence trade on Nasdaq Global Select Market the next day. Additionally, the company approved the underwriters’ 30-day option for purchasing additional 1,200,000 shares of common stock. The offering may close on April 18, 2022. The company is expecting to get about $36.0 million of net proceeds or $41.6 million provided the underwriters exercise their option. Applied is intending to utilize proceeds for purchasing or leasing extra property to build additional co-hosting facilities.
- Riley Securities and Needham & Company will be the book-running managers. Craig-Hallum and D.A. Davidson & Co. are lead managers whereas Lake Street and Northland Capital Markets are co-managers for the offering. The offering of securities would be done through the prospectus. A copy pertaining to the securities can be obtained for free from B. Riley Securities. A registration statement on the securities has been filed with the Securities and Exchange Commission.
An operator and builder of next-generation datacentres across North America, Applied Blockchain gives significant compute power for supporting Bitcoin mining. The firm has partnered with many recognized names in the industry for developing, deploying, and scaling the business.
