News

CUI Global Announces Pricing Of $42.0 Million Follow-On Offering

April 11, 2013 by Jeff Shepard

CUI Global, Inc. a platform company dedicated to the acquisition, development, and commercialization of new, innovative technologies, today announced it has priced an underwritten public offering of 8,400,000 shares of its common stock at a price to public of $5.00 per share. Additionally, the Company has granted the underwriters the option to purchase up to an additional 1,260,000 shares of its common stock to cover over-allotments, if any, at the price to public. The offering is expected to close on or about April 17, 2013, subject to satisfaction of closing conditions.

The total gross proceeds of the offering are approximately $42.0 million. After deducting the underwriters' discount and other estimated offering expenses payable by CUI Global, the net proceeds are expected to be approximately $39.1 million. The Company intends to use approximately £17.0 million of the net proceeds of the offering, or $26.2 million based on the exchange rate of $1.5385 = £1.0000 as of the New York market close on April 11, 2013, to fund the purchase price of Orbital Gas Systems Limited ("Orbital-UK"). It intends to use the remaining net proceeds to pay down approximately $2.0 million of its long term debt, as well as for working capital and general corporate purposes.

Craig-Hallum Capital Group LLC is acting as sole book-running manager of the offering. Merriman Capital, Inc. is acting as co-manager of the offering. A registration statement relating to shares of the common stock of CUI Global has been declared effective by the Securities and Exchange Commission.