WhiteFiber slides after increased $210 mln convertible bond offering

Shares of AI infrastructure firm WhiteFiber WYFI.O down 5.2% to $19.26 before the bell after slightly upsized raise

WYFI announces pricing private offering of $210 mln 4.5% 5-yr convertible bonds (CBs)

Offering size increased from $200 mln; initial conversion price set at $25.91, 27.5% above stock's last close of $20.32

It plans to use net offering proceeds primarily for data center expansion, and for potential acquisitions, partnerships and joint ventures, among other uses

It also intends to use about $120 mln of proceeds to pay the cost of zero-strike call option transactions to facilitate hedging by investors in the CBs

New York City-headquartered co has roughly $780 mln market cap

WYFI's shares on Weds gained 6%, finishing up about 20% from their $17 issue price after its Aug $159 mln IPO

All 9 analysts are bullish; median PT $37, per LSEG