SoFi rides bumper Q2 to US$1.5bn overnight raise
SoFi Technologies seized on a dramatic upturn in investor interest to raise US$1.5bn late Tuesday through an overnight block sale of stock, a quick follow-up after reporting strong quarterly results in the morning.
Goldman Sachs, Citigroup and Mizuho Securities offloaded their joint purchase of 71.9m shares at US$20.85, the bottom of the US$20.85–$21.50 marketing range and a 6.9% discount to the US$22.40 last sale price Tuesday.
Early in Tuesday’s session, the digital bank’s shares were trading at US$21.40.
SoFi, which sold a 6.1% stake of itself on the offering, earlier Tuesday reported a beat-and-raise second quarter, leading to a 6.6% run-up in its shares ahead of the equity raise.
In the second quarter ended June 30, SoFi generated US$249.1m of adjusted Ebitda while growing revenue by 42.8% to US$854.9m, shattering the US$207m and US$803m analyst consensus, according to LSEG data.
The company now expects to generate Ebitda and revenue of US$960m and US$3.375bn for the full-year 2025, up from US$875m–$895m and US$3.235bn–$3.31bn previously.
SoFi finished the quarter with US$2.7bn of cash, making the equity raise opportunistic. SoFi is using the money raised for general corporate purposes, though it does have nearly US$1bn of debt maturing through the end of 2026.
The company has seen its shares more than double in price from the lows in April and took advantage of highly liquid shares – the stock sale equated to a little more than one day’s trading volume (66.6m shares) and compared to the 234.4m shares that traded Tuesday.