AMSC Announces Common Stock Offering Plan
American Superconductor Corp. (AMSC, Westborough, MA) announced that it plans to file a registration statement with the US Securities and Exchange Commission to offer its common stock for sale to the public. The company expects to file the registration statement within the next two weeks. The planned offering replaces the company's previously announced secured debt financing plan to raise $50 million in the form of a term loan, convertible subordinated notes and a working capital credit facility, which the company has decided not to pursue.
"AMSC's management and board of directors believe the decision to forego a secured debt financing and to adopt an equity financing strategy under current market conditions is in the best interests of our shareholders," said Greg Yurek, chief executive of American Superconductor.