Fathom Holdings closes $6 million public offering of common stock

CARY, N.C. - Fathom Holdings Inc. (NASDAQ:FTHM) announced Monday the closing of its previously announced underwritten public offering of 3 million shares of common stock at $2.00 per share, generating approximately $5.4 million in net proceeds after underwriting discounts and expenses. The offering comes as the company’s stock has shown significant volatility, with InvestingPro data showing a 104% surge over the past six months despite a recent 29% weekly decline.

The national technology-driven real estate services platform also granted the offering’s underwriter, Roth Capital Partners, a 45-day option to purchase up to an additional 15% of the shares on the same terms and conditions.

"We view this capital raise as an important step in strengthening our financial foundation while giving us additional flexibility to accelerate our growth strategy," said Marco Fregenal, CEO of Fathom Holdings, in a press release statement.

According to the company, the proceeds will be used to invest in sales and marketing initiatives, pursue strategic opportunities to enhance their platform, and support ongoing operations.

Fathom Holdings operates a technology platform that integrates residential brokerage, mortgage, title, and SaaS offerings to brokerages and agents through its proprietary cloud-based software.

The offering was made pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission.

In other recent news, Fathom Holdings Inc. reported its Q2 2025 earnings, revealing a notable miss on earnings per share (EPS) expectations. The company posted an EPS of -$0.13, falling short of the forecasted -$0.04. Despite this, Fathom Holdings exceeded revenue forecasts, which contributed to a positive market reaction. Additionally, the company announced the pricing of an underwritten public offering of 3 million shares of its common stock at $2.00 per share. Fathom Holdings expects to receive approximately $5.4 million in net proceeds from this offering after underwriting discounts and expenses. The company has also granted Roth Capital Partners a 45-day option to purchase up to an additional 15% of the shares on the same terms. Furthermore, shareholders approved an amendment to the 2019 Omnibus Stock Incentive Plan, increasing the share reserve by 1,300,000 shares. Lastly, six directors were elected to serve one-year terms at the company’s recent annual meeting.

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