Why KnowBe4 Stock Was Soaring Thursday
Shares of security awareness company KnowBe4 (NASDAQ: KNBE) were soaring on Thursday after the company disclosed the pricing of its upcoming common stock offering. The stock was up as much as 32.1% on the news. As of 12:00 p.m. EDT, KnowBe4 stock is up 23.2% for the trading day.
On Aug. 12, KnowBe4 announced it would be selling 10.4 million shares of its common stock at a price of $20.75 a share. Investors seemed to like the news, shooting up the stock over $25 a share after the announcement. Typically, when a company announces a common stock offering, shares drop to at or below the offering price because of the dilution that will affect existing shareholders' ownership in the business. For whatever reason, the opposite occurred when KnowBe4 announced the pricing today.
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Source Fool.com
