Ceradyne Announces Offering of 1.8 Million Shares of Stock
July 7, 2003
Ceradyne, Inc. recently announced that it has commenced the public offering of 1,800,000 shares of its common stock, with 1,500,000 newly issued shares offered by the company and 300,000 shares offered by the selling stockholder. The offering price is $17.50 per share. Net proceeds to the company from the sale will be approximately $24.1 million. Ceradyne intends to use the net proceeds to repay outstanding debt, to expand production capacity and to purchase machinery and equipment, with the balance used for working capital and other general corporate purposes. The managing underwriters of the offering are Needham & Co., Inc. and A.G. Edwards & Sons, Inc. The underwriters have a 30-day period in which to exercise an option to purchase up to 270,000 additional shares of common stock to cover over-allotments, if any, of which 225,000 shares may be issued by the company and 45,000 shares may be sold by the selling stockholder.