Black Rifle Coffee rallies after $35 mln equity raise

Shares of BRC Inc BRCC.N, known as Black Rifle Coffee Company, reverse premarket losses and last up 17.2% at $1.77 early Thurs after follow-on priced

Veteran-founded coffee seller announced 28 mln shares at $1.25 for $35 mln gross proceeds

Offering priced at 17.2% discount to stock's last close

Co plans to use net proceeds for general purposes including partial repayment of its revolving credit facility, which will result in availability for the launch of Black Rifle Energy Beverage, according to the prospectus

Salt Lake City, Utah-based firm has ~216 mln shares outstanding for about $325 mln market cap, and ~63.3 mln shares of free float, per LSEG data

D.A. Davidson sole bookrunner for the offering

Even with move on the session, stock is down ~44% YTD

Stock well off record intraday peak of $34 hit in Apr 2022, two months after co went public via SPAC merger

3 of 5 analysts covering BRCC rate stock "strong buy" or "buy" and 2 rate "hold" and median PT is $2.50 - LSEG