Super Micro to Delay 2 Million Share Sale to After Close

(Bloomberg) — Super Micro Computer Inc. pushed back the expected pricing of the sale of 2 million shares to after the market closes in New York, according to people familiar with the matter.

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Goldman Sachs Group Inc., the sole underwriter of the share sale, has communicated the updated timetable to potential investors that the pricing of the deal, the people said. The pricing was set to occur before Super Micro’s shares began trading on Wednesday, the people said.

The company was offering to sell 2 million shares at $900 to $1000.68 each, in a public offering that could raise as much as $2 billion, Bloomberg News has reported. The sale is now considered a so-called marketed deal, and depending on investor demand, shares may potentially price outside the earlier proposed range, the people said.

Read More: Super Micro Seeks Up to $2 Billion in Share Sale After Rally

Super Micro shares plunged as much as 13.8% on Tuesday following the share sale announcement. They were down about 8.7% as of 2:16 p.m. New York time.

The sale delay was first reported by the Wall Street Journal.

No final decisions have been made and details of the share sale such as the price of the offering and the timing could change, the people said, asking not to be identified as the information isn’t public. Representatives for Super Micro and Goldman Sachs didn’t immediately respond to requests for comment.

The computer server maker has been on a stock market tear of late, riding the wave of enthusiasm in artificial intelligence to a gain of nearly 1,000% over the past 12 months, and earning a $56 billion market cap. Its stock, whose recent rally dwarfs even that of Nvidia Corp., was just added to the S&P 500 Index, a confirmation of its ascension into the big leagues and exposing it to an ever-larger base of investors.

The underwriter will have a 30-day option to purchase as much as an additional 300,000 shares of Super Micro common stock, the company said in a statement on Tuesday.

–With assistance from Molly Schuetz.

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