AeroVironment completes sale of additional shares, raises $131.3 million

Published 15/07/2025, 21:34
AeroVironment completes sale of additional shares, raises $131.3 million

AeroVironment Inc. (NASDAQ:AVAV), whose stock has surged 11.78% in the past week and currently trades at $263.82, announced Tuesday the closing of an additional public offering of 529,234 shares of its common stock, generating gross proceeds of $131.3 million. According to InvestingPro analysis, the company appears overvalued at current levels. The transaction followed the full exercise of the over-allotment option granted to underwriters as part of a previously reported firm commitment underwritten public offering.

The over-allotment option, which was exercisable within 30 days after July 1, 2025, allowed underwriters to purchase additional shares at the offering price of $248.00 per share, less underwriting discounts and offering expenses. AeroVironment reported net proceeds of approximately $126.3 million from the sale.

The initial public offering, completed on July 3, 2025, involved 3,528,226 shares of common stock. With the exercise of the over-allotment option, the total shares issued in connection with the offering increased to 4,057,460.

AeroVironment’s common stock is listed on the NASDAQ Stock Market LLC under the ticker symbol AVAV.

This information is based on a statement in a filing with the Securities and Exchange Commission.

In other recent news, AeroVironment has been the subject of several developments that may interest investors. Stifel has raised its price target for AeroVironment to $295, citing the company’s financing plans involving $650 million in new debt and $875 million in equity financing. This decision reflects optimism about AeroVironment’s opportunities in its core markets. Additionally, Cantor Fitzgerald has maintained an Overweight rating on AeroVironment, with a price target of $335, focusing on the company’s growth potential in drones and munitions. The Pentagon’s recent directive to fast-track drone production and deployment has also highlighted AeroVironment’s significant role as a major military drone supplier. Defense Secretary Pete Hegseth’s policies aim to accelerate drone acquisition and deployment, potentially benefiting AeroVironment. The company’s recent BlueHalo acquisition is seen as an opportunity for synergies and growth, according to Cantor Fitzgerald. These developments underscore AeroVironment’s strategic positioning in the evolving defense industry.

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