Comscore has secured funds from an institutional investor to the tune of around $20m, with potential to grow to $50m. The investor will buy Comscore common stock at just $7.33 per share, close to its current ten-year low valuation, but the funds should strengthen the firm as it continues to 'refocus'.
The price represents a 5.4% discount to the stock's closing price last Friday, June 21st, with detailed terms coming in a filing later today. Interim CEO Dale Fuller (pictured) says, 'This transaction strengthens our balance sheet and positions us to pursue our refocused growth strategy while providing the flexibility to better apply resources to meet our business objectives, and ultimately drive long-term value for our stockholders'.
Comscore has endured a torrid four years since August 2015 when shares topped out at over $64. In March 2016 they lost a third of their value in a day when the firm disclosed that its Audit Committee has not finalized an ongoing review of 'certain potential accounting matters' - the report 6 months later concluded that the firm's last three years' financial statements 'should no longer be relied upon', and two waves of senior resignations have followed. Shares rallied at the turn of the year - they added around ten dollars from a Christmas Eve low, to reach $23.21 on March 5th - but have since continued their slide, to a low of $7.79 on Friday and $7.40 today. The investment is at a 5.4% discount to Friday's price.
Web site: www.comscore.com .
All articles 2006-19 written and edited by Mel Crowther and/or Nick Thomas.