Robinhood Markets, Inc. Announces Partial Exercise of IPO Underwriters’ Over-Allotment Option to Purchase Additional Shares
Robinhood announced the partial exercise of its IPO underwriters' over-allotment option, leading to the purchase of 4,354,194 shares of Class A common stock at $38.00 per share. The transaction is expected to yield approximately $158.5 million in net proceeds, which will be completed on August 31, 2021. The IPO underwriters include Goldman Sachs, J.P. Morgan, Barclays, Citigroup, and Wells Fargo Securities. This transaction is a significant step in Robinhood's efforts to expand its financial operations and maintain market momentum.
- Net proceeds of approximately $158.5 million from the sale of additional shares.
- Partial exercise of over-allotment option indicates strong demand for Robinhood shares.
- None.
MENLO PARK, Calif., Aug. 30, 2021 (GLOBE NEWSWIRE) -- As previously announced, in connection with its initial public offering (“IPO”), Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) granted the underwriters of its IPO a customary 30-day over-allotment option to buy up to an additional 5,500,000 shares of Class A common stock from Robinhood at the IPO price, less underwriting discounts and commissions. Today, Robinhood announced that the IPO underwriters have partially exercised their over-allotment option and will purchase 4,354,194 shares of Class A common stock (the “Additional Shares”) at the IPO price of
Goldman Sachs & Co. LLC and J.P. Morgan acted as joint lead book-running managers for the offering. Barclays, Citigroup and Wells Fargo Securities acted as additional book-running managers for the offering.
A registration statement relating to this offering was declared effective by the Securities and Exchange Commission (“SEC”) on July 28, 2021. The offering was made only by means of a prospectus (the “Prospectus”), copies of which may be obtained from: Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, telephone: 1-866-471-2526, facsimile: 1-212-902-9316, or by emailing prospectus-ny@ny.email.gs.com; or J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717, telephone: 1-866-803-9204, or by emailing at prospectus-eq_fi@jpmchase.com.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Robinhood
Robinhood is on a mission to democratize finance for all. With Robinhood, people can invest with no account minimums through Robinhood Financial LLC, buy and sell crypto through Robinhood Crypto LLC, and learn about investing through easy-to-understand educational content. Robinhood aims to build the most trusted and most culturally relevant money app worldwide.
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