Stocks Trading Lower After Equity Offering (ZOOM, ARCC, DPM)

Zoom Technologies, Inc. (NASDAQ:ZOOM) plunged 11.35% to $3.98. The Company announced it has executed definitive agreements with institutional and accredited investors for gross proceeds of $7,926,240 in connection with the Company’s private placement of common stock and warrants. The transaction involves the sale of 2,113,664 newly-issued shares of the company’s common stock at the price of $3.75 per share and warrants to purchase an additional 1,585,248 shares of the company’s common stock at $4.71 per share. The transaction will close pending satisfaction of certain closing procedures. Proceeds from this financing will be used for capacity expansion purposes. Ares Capital Corporation (NASDAQ:ARCC) dropped 3.76% to $16.36. The company announced that it has entered into an agreement to sell 10,000,000 shares of common stock at a public offering price of $16.50 per share, raising $165,000,000 in gross proceeds. The 52-week range of the stock is $10.86-$17.44. The stock went up more than 31% year-to-date. DCP Midstream Partners, LP (NYSE:DPM) went down 4.44% to $34.64. The company announced that it has priced an underwritten public offering of 2,500,000 common units representing limited partner interests at $34.96 per common unit. The offering is expected to close on November 16, 2010. The stock went up more than 17% year-to-date.
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