Gevo Sinking After Announcing Proposed Offering of Common Stock and Senior Notes

Gevo

is trading on the session after announcing that it intends to offer common stock and convertible senior notes due 2022. Gevo said it expects to use the net proceeds from the offerings to repay a portion of its outstanding long- term debt obligations, to fund the cash consideration payable to complete the retrofit of its Luverne, Minn. plant, and to partially fund the Redfield Energy retrofit. Gevo is a renewable chemicals and advanced biofuels company. It is focused on the development and commercialization of alternatives to petroleum-based products. The stock has rallied over 25% year-to-date. On today's session, the shares of Gevo are currently trading at $7.30, a loss of $1.47 or 16.76%.