Shares of enterprise data storage equipment maker Fusion-IO (FIO) are down $3.61, or almost 10%, at $32.60 after the company this morning priced its secondary offering of 8.8 million shares at $33.
Three million shares are being offered by the company, offering some 4% dilution to existing shareholders, and another 5.8 million shares are being sold by current holders.
Among those holders, chief executive David Flynn is proposing to sell 879,853 shares, according to the prospectus, which would bring his ownership of the stock from 8.06% to 6.71%.
Fusion-IO went public on June 9th at $19 per share, and has obviously fared very well since then. The stock had gotten some mixed reviews back in July when the underwriters initiated coverage, but it has delivered two blowout quarters as a public company. The shares fell 7% on November 9th when the secondary was first announced.
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