Xometry dips after $225 mln convertible bond offering priced

Shares of Xometry XMTR.O, an AI-enabled marketplace for on-demand manufacturing, down 1.2% at $35.76 before the bell after capital raise

Maryland-based firm early Tues announced pricing offering of $225 mln 0.75% convertible bonds (CBs) due 2030

Initial conversion price of $47.06 represents 30% premium to stock's last close

Co expects to use ~$15.7 mln of net proceeds, along with cash on hand, to pay for capped calls, derivative transactions to reduce dilution, and $8 mln to repurchase its stock

It also intends to use proceeds to repurchase for about $216.7 mln in cash approx $201.7 mln principal outstanding of its 1% CBs due 2027

Co has roughly ~$1.8 bln market cap, per LSEG data

XMTR shares on Mon ended down 1.5% at $36.20, off 15% YTD

Of 10 analysts covering XMTR, recommendation breakdown is 7 "strong buy" or "buy", 2 "hold" and 1 "sell" rating; median PT is $35.50 - LSEG