Cogent Plans $75 Million Stock Offering
May 23rd, 2005 By: Rich Miller
Bandwidth and colocation provider Cogent Communications plans to raise $75 million with a secondary stock offering, the company said today. Cogent is renowned for “ultra-high bandwidth offered at radically low price.” The Washington D.C. company also operates 30 colocation facilities in 11 countries, including a number of sites Cogent acquired when it bought PSINet in a bankruptcy deal during the data center downturn. It recently completed a 1-for-20 reverse stock split. Investors seem to like the additional liquidity, as Cogent shares were trading up about 8 percent ($25.01 a share, up $1.97) in NASDAQ trading.