What’s Going on with WPRT?
Shares in Canada’s Westport Fuel Systems (WPRT) declined during pre-market trading today after the company announced yesterday, June 1, the launch of a proposed underwritten public offering of common shares in the U.S. and Canada. Just before trading commenced today, WPRT stock dropped 5.33% to $6.40 a share — although shares closed higher yesterday at $6.76 a share, which was a 7.99% increase.
What Does This Mean for Westport Fuel Systems Inc?
Westport Fuel Systems is a clean transportation technology outfit that works with clients in more than 70 countries and is focused on designing and building alternative fuel systems and components for automotive purposes. The firm's proposed underwritten public offering in the United States and Canada of common shares is aiming for approximately US $100 million in proceeds.
The company plans to earmark the earrings from the offering “primarily for capital expenditures to expand and automate production capacity of the Company’s high-pressure direct injection (“HPDI”) products to meet customer demand, and to advance the research and development of the Company's HPDI technology to decarbonize transportation economically and efficiently, including using hydrogen fuel,” according to an official press release. “Bolt-on” businesses could possibly be acquired as well with any remaining funds leftover — with the goal of complementing the abilities of the existing businesses. Westport Fuel Systems also plans to grant the underwriters an option to purchase additional common shares of up to 15% of the number of shares that will be sold in the initial public offering.
WPRT has an Overall Score of 56. Find out what this means to you and get the rest of the rankings on WPRT!
Westport Fuel Systems Inc is a provider of high-performance, low-emission engine and fuel system technologies utilizing gaseous fuels. The company has four segments: Original Equipment Manufacturer(OEM), Independent Aftermarket (IAM), the Cummins Westport Inc (CWI) Joint Venture, and Corporate. Geographically, it derives maximum revenue from Europe and also has a presence in the Americas, Asia, and other countries. The company brands include Cummins Westport, BRC Gas Equipment, Westport, OMVL, Prins, GFi Control Systems, Emer, Zavoli, TA Gas Technology, AFS, and Valtek.
