Stock Offerings: Con-Way

Con-Way shares fell sharply after anouncing an offering of common stock.
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NEW YORK (

TheStreet

) --

Con-Way

(CNW)

was among several companies to see its share price fall sharply after announcing an offering of common stock.

Con-Way

said it intends to offer 4.3 million shares of common stock, and that underwriters have been granted a 30-day option to purchase up to 645,000 additional shares of its common stock to cover over-allotments, if any.

Con-Way said that net proceeds from the offering will be used for general corporate purposes including working capital requirements and capital expenditures. Shares of the transportation company were falling 7% to $35.50 on the announcement, as share volume of 1.26 million was above the three-month average daily volume of 964,000.

Among other offering announcements,

Cogdell Spencer

(CSA) - Get Report

priced an offering of 6.5 million shares of common stock offering at $7 per share. Underwriters were given thee an option to purchase up to an additional 975,000 shares, the company said.

Cogdell Spencer said net proceeds of approximately $43.5 million will be used to reduce borrowings under its secured revolving credit facility, to fund build to suit development projects and for working capital and other general corporate purposes. Shares of the real estate investment trust were tumbling 7.3% to $7.02 on above-average volume.

On the other hand,

DuPont Fabros Technology

(DFT)

shares were on the rise after the data center company said it has priced a 12 million share common stock offering at $23 per share. Underwriters have been granted a 30-day option to purchase up to an additional 1.8 million shares of common stock to cover overallotments, if any.

DuPont Fabros said net proceeds of approximately $264.9 million plus borrowings under its revolving credit facility and a portion of its cash and cash equivalents to complete development of the first phase of its data center in Santa Clara, Calif. known as SC1, and to completely develop the first phase of its data center in Ashburn, Virginia known as ACC6.

DuPont Fabros shares were rising 5.4% to $24.50.

Meanwhile,

Western Gas Partners

(WES) - Get Report

priced its public offering of 4 million common units at $22.25 per unit. Western Gas Partners said it has granted underwriters a 30-day option to purchase up to 600,000 additional common units.

Net proceeds from the offering are expected to be used to repay amounts outstanding under the partnership's $350 million revolving credit facility, Western Gas Partners said. Still, the stock fell 4.1% to $22.20 on the announcement.

Vanguard Natural Resources

(VNR)

shares sank after the natural gas company said it has priced of public offering of 3.25 mln shares representing LLC interests in it at $23 per share. Underwriters were granted a 30-day option to purchase up to an additional 487,500 common units.

Vanguard Natural said net proceeds of $71.5 million will be used to repay indebtedness outstanding under its reserve-based credit facility. Shares were losing 4.6% to $22.90.

Ramco-Gershenson Properties Trust

(RPT) - Get Report

said it has priced an offering of 6 million common shares of beneficial interest at $11.50 per share. Underwriters of the offering were granted a 30-day option to purchase up to an additional 900,000 common shares of beneficial interest to cover over-allotments, if any.

Ramco-Gershenson said net proceeds of $65.6 million will be used to prepay the $33 million principal payment of its secured term loan facility, to pay off two mortgages in aggregate of $15.9 million and to reduce outstanding borrowings under its secured revolving credit facility. Shares were falling 6.8% to $11.64.

Lastly,

Allied Nevada

(ANV)

shares were down 6.3% to $20.37 after the gold producer announced a 13 million share common stock offering at a price of $21 per share. Underwriters a 30-day option to purchase up to an additional 1.8 million shares.

Net proceeds will be used to advance expansion projects at its Hycroft mine and to fund Hycroft and regional Nevada exploration programs and for general corporate purposes, Allied Nevada said.

-- Written by Robert Holmes in Boston

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