By Liz Moyer
Investing.com -- Blue Apron Holdings Inc (NYSE:APRN) shares extended their fall on Monday after last week’s disclosure that it planned to sell up to $70 million of stock.
Shares were down 11.5% as of midday. They are up 14.5% this year, trading around 95 cents a share.
The meal kit maker said Friday that the “at the market” share offering is intended to provide it with access to capital from time to time. The $70M is the remaining amount available under its shelf registration last fall. Blue Apron said the number of shares to be sold will depend on market conditions, its capital needs and the anticipated benefits of a sale.
Blue Apron plans to use the proceeds of any sale for general purposes, including working capital and expenses or paying down its debt. It also said the program would give it greater flexibility to pursue, evaluate and potentially execute other financing, a potential business combination, or another strategic transaction.
Canaccord Genuity is the sales agent on the offering.
The company plans to release its fourth quarter and full-year 2022 earnings before the opening bell on March 16.