Joby Aviation loses altitude after $1 bln stock, convertible deals announced

Shares of electric air taxi maker Joby Aviation JOBY.N down 12.3% in extended trading to $11.73 as it seeks capital raise

Santa Cruz, California-based JOBY announces offerings of convertible bonds (CBs) due 2032 and common stock for anticipated gross proceeds of $1 bln

Co intends to use net proceeds from concurrent offerings to fund its certification and manufacturing efforts, prepare for commercial operations and for general purposes

It also plans to use portion of CBs proceeds to fund cost of capped calls, derivative transactions employed to mitigate potential dilution

Morgan Stanley, Allen & Co and BofA joint bookrunners for stock offering; Goldman Sachs joins same trio as a joint bookrunner for the CBs offering

JOBY has about $12 bln market cap

Shares on Weds ended down 0.7% at $13.37. Stock has gained about 60% over the past year

2 of 11 analysts rate the stock "buy", 6 rate "hold" and 3 recommend "sell"; median PT $12.50, per LSEG data