We recently published 10 Stocks With Massive Gains; 5 at Record Highs. Compass Inc. (NYSE:COMP) was one of the top performers on Wednesday.
Compass bounced back on Wednesday to hit a new four-year high, as investors cheered progress on its planned $10-billion all-stock merger with Anywhere Real Estate Inc., paving the way for the looming completion of the deal.
At intra-day trading, the stock jumped to its highest price of $12.58 before trimming gains to finish the day just up by 9.33 percent at $11.84 apiece.
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In a statement, Compass Inc. (NYSE:COMP) said that 99 percent of the votes cast at its special stockholders’ meeting voted to approve its merger with Anywhere Real Estate, while the latter also secured 72.4 percent approval from its own shareholders.
“We are pleased with the strong support from our and Anywhere’s stockholders in approving this transaction. Today’s outcome reflects confidence in our shared vision to empower real estate professionals with everything they need to grow their business and better serve their clients,” said Compass Inc. (NYSE:COMP) CEO Robert Reffkin.
In line with the approval, Compass Inc. (NYSE:COMP) announced plans to raise $750 million in fresh funds from the issuance of convertible senior notes due 2031, with the potential to increase to $862.5 million upon the subscription of overallotment option totaling $112.5 million.
Proceeds from the offer will be used to fund general corporate purposes, including merger costs, as well as Anywhere Real Estate’s existing debt.
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Disclosure: None. This article is originally published at Insider Monkey.
