BUZZ-Chewy down as BC Partners to reduce stake in stock offering, buyback

Reuters12-12
BUZZ-Chewy down as BC Partners to reduce stake in stock offering, buyback

** Shares of Chewy CHWY.N down 2.7% to $31.65 in extended trading after online pet products retailer commences secondary offering, concurrent buyback

** Co announces $500 mln share offering with private equity firm BC Partners as the seller

** Barclays is sole underwriter

** In addition, Chewy to repurchase $50 mln worth of shares from its largest investor

** Based on CHWY close price of $32.54, BC Partners would offload about 17 mln shares

** CHWY finished session up 3.7%, up 38% YTD

** Co has ~408.3 mln shares outstanding for ~$13.3 bln market cap, according to LSEG data

** Last Weds, co posted Q3 adj EPS of $0.01 and rev of $2.9 bln vs consensus estimates of $0.08/$2.9 bln - LSEG

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))

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