Zoom Raised $1.75B. Morgan Stanley Says the Street Is Too Bearish.
Dreamstime Zoom Video Communications shares are on the mend after the company priced an offering of 5.15 million shares at $340 each, generating proceeds of $1.75 billion before expenses. That is a little larger than the $1.5 billion originally targeted. The offering will nearly double the company’s holdings in cash and marketable securities, which stood at $1.87 billion as of the end of the October quarter. Zoom (ticker: ZM) has no long-term debt. Stifel analyst Tom Roderick says the deal adds financial flexibility, but that he thinks the total would have to be higher in...
Source: barrons.com