Qumu Announces Pricing of Public Offering of Common Stock
November 07 2019 - 7:30AM
Business Wire
Qumu Corporation (NASDAQ: QUMU), a leading provider of
best-in-class video technology for the enterprise, announced today
the pricing of its previously announced underwritten registered
public offering of 3,175,652 shares of its common stock at a price
to the public of $2.50 per share, for gross proceeds of
approximately $7.9 million. In addition, Qumu granted the
underwriter a 30-day option to purchase up to 476,348 additional
shares of common stock to cover over-allotments, if any. The
offering is expected to close on or about November 12, 2019,
subject to the satisfaction of customary closing conditions.
After deducting the underwriting discounts and commissions and
other estimated offering expenses payable by Qumu in connection
with the offering, the net proceeds are expected to be
approximately $7.1 million. These amounts assume no exercise of the
underwriter’s over-allotment option. Qumu intends to use
approximately $4.5 million of the net proceeds from the offering to
repay the outstanding principal and accrued interest under its term
loan credit agreement with ESW Holdings, Inc., and the remaining
net proceeds from the offering for working capital and general
corporate purposes.
Craig-Hallum Capital Group is acting as the sole managing
underwriter for the proposed offering.
The securities described above are being offered pursuant to a
shelf registration statement on Form S-3 (File No. 333-233470) that
was declared effective by the U.S. Securities and Exchange
Commission, or the SEC, on September 5, 2019. A preliminary
prospectus supplement and accompanying prospectus relating to and
describing the terms of the proposed offering were filed with the
SEC on November 6, 2019. The final prospectus supplement and
accompanying prospectus relating to the offering will be filed with
the SEC and, when available, may be obtained by visiting the SEC’s
website at www.sec.gov or by contacting Craig-Hallum Capital Group
LLC, 222 South Ninth Street, Suite 350, Minneapolis, MN 55402, by
telephone at 612-334-6300 or by email at prospectus@chlm.com.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of
these securities in any state or other jurisdiction in which such
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such state or
other jurisdiction.
About Qumu
Qumu Corporation (Nasdaq: QUMU) is a leading provider of
best-in-class tools to create, manage, secure, distribute and
measure the success of live and on-demand video for the enterprise.
Backed by the most trusted and experienced team in the industry,
the Qumu platform enables global organizations to drive employee
engagement, increase access to video, and modernize the workplace
by providing a more efficient and effective way to share
knowledge.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These include statements regarding, but not limited to,
Qumu’s intention to the offer the securities and the expected uses
of the proceeds from the proposed offering. Forward-looking
statements can be identified by the use of words such as “may,”
“will,” “plan,” “should,” “expect,” “anticipate,” “estimate,”
“continue” or comparable terminology. Forward-looking statements
involve risks and uncertainties that could cause actual results or
developments to differ materially from those indicated due to a
number of factors affecting Qumu’s operations, markets, products
and services. Qumu identifies the principal risks and uncertainties
that impact its performance in its public reports filed with the
SEC, including the “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition” sections of Qumu’s most recent
Annual Report on Form 10-K, as may be supplemented or amended by
Qumu’s subsequent Quarterly Reports on Form 10-Q. Forward-looking
statements speak only as of the date on which they are made and
Qumu assumes no obligation to update any forward-looking
statements.
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version on businesswire.com: https://www.businesswire.com/news/home/20191107005296/en/
Dave Ristow Chief Financial Officer Qumu Corporation
Dave.Ristow@qumu.com +1.612.638.9045
Qumu (NASDAQ:QUMU)
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