ADT (NYSE:ADT) slips 5% after-hours on heels of commencing secondary public offering of 43.5M common shares to be sold by Apollo Global Management and certain of the Company’s current and former executive officers (“Selling Stockholders”).
Long-term shareholder Apollo will retain 80% of ADT’s common stock. The offering represent 5.5% of ADT’s fully diluted common stock.
Apollo and certain officers have agreed to a 120-day lock-up of their common stock. Underwriters’ over-allotment is an additional 6.5M Selling Stockholders shares.
The Company will not receive any proceeds from the offering.