Investing.com — Keurig Dr Pepper (NASDAQ:KDP) priced a secondary offering of 28 million shares at $35.65 each.
Shares dropped 5%.
The registered public secondary offering of the company’s outstanding common stock on behalf of Mondelēz International Holdings was announced on Monday.
KDP is not selling any shares of common stock and will not receive any proceeds from the offering. Upon completion, Mondelēz will own approximately 6.4% of outstanding common stock, or about 6.1% should it exercise the underwriter’s option to purchase 4.2 million additional shares. At that ownership level, Mondelēz will retain one of its two board seats.
This sale of shares represents approximately 2% of the company’s outstanding common stock (or approximately 2.3% assuming full exercise of the underwriter’s option to purchase additional shares). The offering is expected to close on June 10, 2021, subject to customary closing conditions.