Summary
Shopify Inc. announced on August 15, 2016, its intention to launch a public offering of Class A subordinate voting shares. This offering aims to raise capital through the sale of 7,500,000 shares, with Shopify itself selling 5,000,000 shares and the remainder being offered by selling shareholders, including entities affiliated with Bessemer Venture Partners and certain management members. Shopify will not receive proceeds from the sale of shares by the selling shareholders. The company plans to use a portion of the proceeds for general corporate purposes, which could include strategic acquisitions, investments in technology, and working capital. The offering is being underwritten by a syndicate led by Morgan Stanley, Credit Suisse, and RBC Capital Markets. Investors are advised to review the preliminary prospectus supplement and registration statement for detailed information before making investment decisions, as the completion of the offering is subject to customary closing conditions and market approvals.
Key Highlights
- 1Shopify Inc. announced a public offering of 7,500,000 Class A subordinate voting shares.
- 2Shopify plans to sell 5,000,000 shares, with 2,500,000 shares offered by selling shareholders.
- 3Proceeds from the sale of shares by selling shareholders will not go to Shopify.
- 4The offering is being led by underwriters including Morgan Stanley, Credit Suisse, and RBC Capital Markets.
- 5An over-allotment option of up to 15% of the offered shares is available to the underwriters.
- 6The closing of the offering is contingent upon customary closing conditions and stock exchange approvals.