Once a startup unicorn, mattress brand Casper is now scrambling to raise $150 million as it bleeds cash
It's not unusual for public companies to raise additional funding, including by taking on debt.Casper is trying to raise as much as $150 million in a secondary offering as it confronts mounting losses, a plunging stock, and potential solvency issues.
Generally, when a company can't pay liabilities that are coming due, it usually leads to negotiations with lenders, and potentially paying them penalties. If there are significant debts that go unpaid for long enough, it can eventually raise the prospect of bankruptcy. However, Casper's market capitalization indicates that the market does not view bankruptcy as an imminent possibility, said Brad Thomas, equity research analyst at KeyBanc Capital Markets.
It also comes amid Casper's declining financial standing. Casper has consistently reported losses in its operations since its February 2020 IPO priced at $12 a share. Its stock has plummeted since then to roughly $4.10 a share as of Nov. 3, and its fluctuating market capitalization stands at roughly $170 million.
. The company has been working with management consulting firm Alix Partners as it explores multiple financing options and looks to restructure its business and cut costs, three sources with direct knowledge of the firm's involvement told Insider. its third quarter 2021 financial results on November 15.
México Últimas Noticias, México Titulares
Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.
How to Know When Bleeding During Sex Is NBD and When It’s a ProblemRead this before you freak out.
Leer más »
Powerball drawing for 11/01/21, Monday jackpot is $123 millionMonday night's 11/01/21 Powerball jackpot is worth $123 million, with a cash-value option worth $87.8 million.
Leer más »
Towie's Jess Wright feels 'it's time to start trying for a baby' after weddingFormer TOWIE star Jess Wright, 36, recently revealed she had decided to freeze her eggs just in case after her mum Carol and late Nanny Pat both went through early menopause
Leer más »
American Eagle Outfitters to Buy Quiet Logistics for $350 MillionRetailer American Eagle Outfitters is acquiring digital fulfillment operator Quiet Logistics, in a $350 million cash deal as the apparel retailer looks to take greater control of its supply chain.
Leer más »
Squid Game crypto plunges to $0 after scammers steal millions of dollars from investorsA digital currency based off the popular Netflix series 'Squid Game' is trading at $0 after its creators cashed out, effectively stealing an estimated $2.1 million from investors.
Leer más »
Kim Kardashian and Pete Davidson Have Private Dinner TogetherA source tells ET that the two are trying to 'play it off that they are just friends, but it's a little more than that right now.'
Leer más »