Benzinga | Feb 11, 2021 11:21AM EST

Varonis Systems Raises $450M In Upsized Secondary Offering

* Varonis Systems, Inc. (NASDAQ: VRNS) priced 2.307 million shares at $195 per share to raise $450 million in its upsized secondary offering.

* The offer price is at a 2% premium to its last closing price and was upsized from $400 million earlier.

* The underwriters have a 30-day option to procure additional shares up to 0.346 million compared to the previous limit of 60 million.

* The offering is estimated to close on February 16, 2021.

* Varonis plans to utilize the offering proceeds for general corporate purposes, including working capital, capital expenditures, and potential acquisitions.

* J.P. Morgan Securities LLC, Barclays Capital Inc., Jefferies LLC, and RBC Capital Markets, LLC are the joint book-running managers for the offering.

* Earlier this week, the company reported its fourth-quarter results for FY20. Revenue rose 31% year on year to $95.2 million from higher subscription revenue. As a result, the operating loss halved to $7.2 million. The operating cash flow stood at $7.7 million. The closing cash balance stood at $298.3 million.

* Varonis also closed the Polyrize acquisition and declared a three-for-one stock split.

* Price action: VRNS shares are up 6.45% at $211.5 on the last check Thursday.