GSI Commerce Slides; Prices Below-Market Stock Offering

GSI Commerce (GSIC) shares are losing ground today after the e-commerce software and services company late yesterday announced the pricing of a previously disclosed stock offering at $17 a share - below Thursday’s close at $18.02.

The offer includes 3,661,150 shares to be sold by the company, and another 8,188,850 shares from selling holders, including Softbank Capital Partners. GSIC has granted underwriters a 30-day option on another 1,777,750 shares to cover over-allotments.

GSIC said it will use proceeds from its share of the offering for working capital and general corporate purposes, including potential acquisitions. The company expects net proceeds of $59.2 million not including over-allotments.

Book-runners are Bank of America/Merrill Lynch and UBS. Co-managers include Morgan Stanley, Janney Montgomery Scott and Thomas Weisel Partners.

GSIC today is down 81 cents, or 4.5%, to $17.21.