MindSpring files to offer more shares
The national ISP files regulatory papers to bring an additional 2.3 million shares to market in an offering expected to raise some $135 million.
MindSpring, which went public in 1996, expects to complete the offering this month. The company hopes to raise up to $135 million based on a proposed maximum offering price of $58.94 per share, according to a registration statement filed with the Securities and Exchange Commission.
The company made an additional 1.65 million shares available in May--1 million of which were newly issued shares.
Some analysts have pointed to MindSpring as a potential takeover target for telephone companies anxious to expand their data services, in light of the deal between EarthLink and Sprint.
Stock in MindSpring closed more than 7 percent higher today at 63.875. The company made the announcement after the markets closed today.
Shares have traded as high as 79 and as low as 9.2083 in the past 52 weeks, yet the stock has climbed steadily since mid-October, when it traded in the 20s.
ING Baring Furman Selz will manage the offering with Donaldson Lufkin & Jenrette, J.C. Bradford, Wheat First Securities, and Jefferies.