CUI Global Closes Over Allotment Funding for Another $1.5 Million
CUI Global, Inc. announced that the company has successfully closed the "Over Allotment Provision" in its Underwriting Agreement, bringing another $1,500,000 to the company. The Over Allotment was filled with the assistance of the company’s US Investment Banker, Merriman Capital, Inc.
Such an Over Allotment or "Green Shoe" provision is contained in an underwriting agreement and gives the underwriter the right to sell investors more shares than originally planned by the issuer. This is most commonly done if the demand for a security issue proves higher than expected. It is legally referred to as an over-allotment option.