Zeta Global Holdings (New York Stock Exchange:ZETA) said it has priced its underwritten public offering of 13.2 million Class A shares at $23.50 each and raised its third-quarter revenue and adjusted EBITDA guidance.
The company expects to raise gross proceeds of approximately $204.9 million from the public offering.
Under the offering, Zeta is offering 8.72 million shares and GPI Capital Gemini HoldCo LP is offering 4.48 million shares.
In addition, Zeta and the selling shareholder have granted the underwriters a 30-day option to purchase up to an additional 1.58 million and 0.39 million shares, respectively.
The offering is expected to close on September 6, 2024.
Zeta intends to use the net proceeds for general corporate purposes, including future acquisitions.
Zeta will not receive any of the proceeds from the sale of shares by the selling shareholder in the offering.
The offering is being made by means of an automatic registration statement on Form S-3.
In a separate statement, the company revised its third-quarter revenue guidance to at least $255 million, up 35% year-over-year and up from its previous guidance of $239.2 million. It also raised its guidance for revenue from political candidates to $10 million, up 30% year-over-year and up from its previous guidance of $5 million.
The revised Adjusted EBITDA guidance for the third quarter was also increased to $50.2 million, up 49% year-over-year and higher than the prior guidance of $47.1 million, resulting in an Adjusted EBITDA margin of 19.7%.
“The combination of accelerated growth during the first two months of the quarter coupled with high visibility across our customer base gives us confidence to raise our guidance,” said Chris Greiner, Zeta’s chief financial officer.
“We are not updating our full-year 2024 guidance at this time. We do not believe the rebound we are experiencing in our business in the third quarter was driven by the advance of projected fourth quarter revenue,” the company said.
The company’s shares were fell by 2.61% after hours at $24.23.