Cohu [NASDAQ: COHU] Declares Pricing Of Upsized Public Offering

Cohu Inc. [NASDAQ: COHU] declared that it has decided the pricing of an underwritten public offering of 4,950,000 shares of its common stock. The firm has set the price of $41.00 per share. The offering was upsized from the earlier declared public offering of 4,500,000 shares of common stock. Cohu has offered all these shares.

Cohu is expecting that the gross profit will be $203 million before subtracting the underwriting markdowns and other charges. COHU has also provided the option to buy extra 742,500 shares of its common stock in the offering at the public offering price, subtracting the underwriting discounts and commissions.

Shares of Cohu traded down 6.27% at $41.86 during the trading session of Wednesday. The firm has reported a trading volume of 1.69 million as compared to the average volume of 599.90K. COHU has a market capitalization of $1.74 billion at the time of writing. Cohu revealed that it has decided to use the profit from the offering to pay the due principal on its term loan facility. It is also planning to use the profit for other growth initiatives.

The book-running manager of the firm is Goldman Sachs & Co. LLC and Stifel, and Citigroup. The co-managers for the offering are D.A. Davidson & Co. If we look at the liquidity of the firm, it has a current ratio of 3.00 and a quick ratio of 2.10.