58 in the same city to issue 9.2 million ads: The share price tumbled 7%

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Beijing time March 25 Morning news, in the 58 city (Nyse:wuba) announced in Monday, the largest number of additional 9.2 million ads (US depository shares), the shares of the day tumbled more than 7%.

58 the same city rallied 50% on the day of the IPO last October, continuing the rally. But in Monday, the issue of the issue of the shares constituted a bad, shares fell sharply.

58 The city plans to issue 8 million ads and to give underwriters 30 days of oversubscribed options to buy 1.2 million shares of 58 ads in the same city. Ads per share represent 2 shares of Class A common stock. 58 the city issued 11 million ads during the IPO.

Half of the issue was sold by the company and the other half by existing shareholders. 58 the same city in the United States Securities and Exchange Commission (SEC) of the form f-1/a file estimates that the issue of the highest issue price for each share of 23.87 U.S. dollars, that is, ads per share of 47.74 U.S. dollars. 58 of the same city ads closed at $46.27 in Friday.

58 the same city uses the dual-track stock structure, after the IPO, the shares of stock A are about 43 million shares, and the B shares share about 124 million shares. The B shares of each share have 10 voting rights, accounting for about 96.6% of the total voting rights of the 58 city shareholders. Category B stocks can be converted to a-class stocks before they are sold.

58 the same city executives and directors hold 128 million shares of Class B before the issue of additional equity. After the end of the issuance, 58 of the same city executives and directors will hold about 111 million shares of B shares, voting rights accounted for 86.9%. The company's board gave up the sale of shares, so its current director, Dong Yang, could sell 250,000 shares through the issue.

58 shares in the same city fell 7.07% in regular trading in the NYSE in Monday, at $43. The share price range since the IPO has been 21.15 to 58.89 dollars.