EVgo affiliate plans sale of 23 million shares; stock sinks

LOS ANGELES - EVgo Inc. (NASDAQ: NASDAQ:EVGO ), a network operator of electric vehicle charging stations, disclosed that its affiliate, EVgo Holdings, LLC, under LS Power Equity Partners IV, L.P., is preparing to sell 23 million shares of Class A common stock in a secondary public offering.

The affiliate also anticipates granting underwriters an option to buy an additional 3.45 million shares. The sale will not involve any shares from EVgo itself, and consequently, the company will not benefit financially from the offering.

The transaction is contingent on market conditions, and there is no certainty regarding the completion or the specific terms of the offering. All proceeds from the sale will go to LS Power, leaving EVgo without any financial gain from the event.

Following the announcement, EVgo's stock fell around 15%.

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Source: Investing.com