VeriSign, Inc. (NASDAQ:VRSN) saw its stock fall 6.5% in pre-market trading following Berkshire Hathaway’s announcement of a secondary offering of 4.3 million VeriSign shares priced at $285.00 each.
The offering is priced at a notable discount to VeriSign’s previous closing price of $305.98. It is being conducted by Berkshire Hathaway affiliates who have held VeriSign shares since 2012. VeriSign itself is not selling any shares and will not receive proceeds from the transaction; all sale proceeds will go to the selling shareholders.
The sale aims to reduce Berkshire Hathaway’s ownership stake below the 10% regulatory threshold, which would otherwise impose additional reporting and compliance requirements. J.P. Morgan Securities LLC is serving as the sole underwriter for the deal.
Berkshire Hathaway has agreed to a 365-day lock-up period on its remaining VeriSign shares following the offering. Additionally, the selling shareholders have granted the underwriter a 30-day option to purchase up to 515,032 more shares.
The offering is expected to close on July 30, 2025, subject to customary closing conditions.
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.