Youbet.com Files To Raise Cash (UBET)

November 26, 2008 by Douglas A. McIntyre

Money_stack_pic_4YouBet.com Inc. (NASDAQ: UBET) has just filed a mixed shelf registration with the SEC to allow it to sell securities to raise capital.  The securities listed are any combination of common stock, preferred stock, stock purchase contracts, stock purchase units, warrants or rights.

The filing says that it can sell up to $29.85 million in securities.The use of funds is for general corporate purposes, which may includeadditions to working capital, repayment or redemption of existingindebtedness and financing of capital expenditures and acquisitions.But the company also noted in the use of funds section:

  • We may borrow additional funds from time to time from public andprivate sources on both a long-term and short-term basis and may sellcommercial paper to fund our future capital and working capitalrequirements in excess of internally generated funds.

No terms nor any underwriters were mentioned in this filing.

Shares closed up 6% at $0.88 in very light volume today.  Its 52-weektrading range is $0.65 to $2.09 and its current market cap is listed as$36.5 million.  As of November 25, 2008, YouBet.com had 41,519,024shares of common stock outstanding, of which 35,954,677 shares wereheld by non-affiliates.

Jon C. Ogg
November 26, 2008