Green Plains Inc. - Form 8-K Summary
Business Context and Reporting Period
Company: Green Plains Renewable Energy, Inc.
Filing Date: July 31, 2006
Event: Final closing of a public offering of common stock and related warrants pursuant to an effective shelf registration statement.
Key Financial Metrics
| Metric | Value |
|---|---|
| Shares Sold | 1,600,069 |
| Offering Price per Share | $30.00 |
| Gross Proceeds | $48,002,070 |
| Warrant Terms | 1 warrant per share to purchase 1/5 share at $60.00 |
| Placement Agent Commission | 6% (paid to Anderson & Strudwick, Inc.) |
| Officer/Director Compensation | $0 |
Material Changes and Use of Proceeds
The company completed a capital raise resulting in gross proceeds of approximately $48 million. These funds are designated for the construction of an ethanol plant near Superior, Iowa. The offering was conducted on a "best efforts" basis through officers, directors, and selected dealers including Anderson & Strudwick, Incorporated, Sanders Morris Harris, Shoreline Pacific LLC, and Smith Hayes Financial Services.
Guidance, Outlook, and Risks
Management Commentary: The filing confirms the successful conclusion of the offering and the specific allocation of funds toward capital expansion (ethanol plant construction).
Risks/Contingencies: The filing text does not provide specific risk factors or contingencies beyond the standard nature of a capital raise and construction project.
Investor Verification Checklist
- Verify the final net proceeds after deducting the 6% placement agent commission and other offering expenses.
- Confirm the timeline and budget for the construction of the Superior, Iowa ethanol plant.
- Review the terms of the warrants (exercise price of $60.00 and expiration date) to assess potential future dilution.
- Check subsequent filings for updates on the plant's construction progress and capital expenditure burn rate.