GOV 6.5 million shares public offering, good or bad?
Government Properties Income Trust (NYSE:GOV - News) today announced it priced a public offering of 6,500,000 common shares at a price to the public of $25.40 per share. The settlement of this offering is expected to occur on Monday, July 25, 2011. GOV expects to use the proceeds of this offering to reduce amounts outstanding under its revolving credit facility and for general business purposes, including funding acquisitions. The underwriters have been granted a 30-day option to purchase up to an additional 975,000 common shares to cover over-allotments, if any.
WHAT DOES THIS MEAN FOR THE STOCK? WITH THE PRICE GO UP, DOWN, STAY THE SAME? IS THIS A GOOD THING?
Joy, this is not an answer. Stop talking down to those looking for advice and answer the question if you want to participate .