WWD.com/beauty-industry-news/financial/donnkenny-files-for-2-2m-share-secondary-offering-1153375/
government-trade
government-trade

Donnkenny Files for 2.2M-Share Secondary Offering

NEW YORK -- Donnkenny Inc. has filed for a secondary offering of 2.2 million shares, of which 1.6 million will be sold by Merrill Lynch Interfunding Inc.<BR><BR>Donnkenny itself will sell 600,000 shares in the offering. At a current market price of...

NEW YORK — Donnkenny Inc. has filed for a secondary offering of 2.2 million shares, of which 1.6 million will be sold by Merrill Lynch Interfunding Inc.

Donnkenny itself will sell 600,000 shares in the offering. At a current market price of 23, proceeds to the company will reach $13.8 million, which will be used to repay debt.

Merrill Lynch is selling its entire 25.9 percent stake in the company and it will net $36.8 million before underwriting expenses from the offering. Merrill Lynch sold 775,399 shares in Donnkenny’s initial public offering in June 1993 to raise $10 million. Merrill Lynch funded Donnkenny’s management-led buyout in August 1989, acquiring a 70 percent stake for $2.1 million.

Donnkenny went public at $13.25.