UPDATE 1-Teekay Tankers stock sale priced at discount, shrs fall

Tue Apr 6, 2010 9:41am EDT

* Offering priced at $12.25/shr

* Increases size of offering to 7.7 mln shares

* Shares fall 7 pct

April 6 (Reuters) - Teekay Tankers Ltd (TNK.N) said its offering of class A common shares was priced at $12.25 each, a 6 percent discount to the stock's Monday close, sending its shares down 7 percent.

The company increased the size of the offering by 10 percent to 7.7 million shares.

The tanker shipping company granted its underwriters a 30-day option to buy up to 1.2 million shares to cover any over allotments.

The company plans to use proceeds from the offering to part-finance the purchase of three tankers for $168.7 million.

Shares of the company were trading down at $12.18 Tuesday morning on the New York Stock Exchange. (Reporting by Krishna N. Das in Bangalore; Editing by Anne Pallivathuckal)

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Comments (1)
Venerability wrote:
Those who choose to may propagandize as much as they like.

But the stock was trading below the offer price exactly three trading days ago and has been an excellent performer – which is why they were able to price the offering so HIGH.

Apr 06, 2010 1:12pm EDT  --  Report as abuse
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