After seeing its share price rise 60% since the start of 2015, Sapiens International NV (Nasdaq: SPNS; TASE: SPNS) has refreshed its shelf prospectus to maintain the option of raising capital through a secondary offering on Wall street. The Israeli company, which is managed by CEO and president Roni Al-Dor, develops computer software solutions for the insurance industry, and has filed with the US Securities and Exchange Commission (SEC) a prospectus to raise up to $80.5 million.
At the company's current share price of about $11.50, this would involve the issue of about 7 million shares or 12.5% of Sapiens' equity after the offering. The previous capital raising undertaken by Sapiens was in 2013 when the company raised $40 million at $6.25 per share.
Sapiens is part of Formula Systems Ltd. (Nasdaq: FORTY; TASE: FORT) owned by Asseco Poland S.A. Formula has a market cap of $558 million.
At the end of the second quarter of 2015, the company had $89.8 million in cash and short-term investments. Sapiens says in its prospectus that the money raised will be used for general business purposes.
Sapiens is also expected to continue acquiring companies. In recent months Sapiens has made two acquisitions - Polish software company Inessco for $9.1 million and Indian company IBEXI Solutions.
Published by Globes [online], Israel business news - www.globes-online.com - on October 19, 2015
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