Glu Mobile announces $30 million public offering
: Glu Mobile has announced its intention for a proposed public offering, priced at approximately $30 million for 5.58 million shares of common stock.
The company expects to receive
net proceeds of around $27.8 million from the offering, which is expected to close on June 4. Glu plans to use this cash intake to acquire more game studios and technologies.
Most recently Glu acquired PlayFirst
, the casual game studio behind the popular Diner Dash
But investors appear wary of the public offering, as Glu's stock price has fallen by around 10 percent since the announcement -- and some ratings teams are advising investors to sell Glu stock.