Celadon Group, Inc. (NYSE:CGI) announced that it has entered into an agreement pursuant to which an underwriter has agreed to purchase 3,500,000 shares of the Company’s common stock.  The Company has also granted the underwriter a 30-day option to purchase up to an additional 525,000 shares on the same terms and conditions, solely to cover over-allotments.  The total gross proceeds of the offering (before underwriter’s discounts and commissions and estimated offering expenses) will be approximately $80.5 million, without giving effect to the exercise of the option.  The Company expects to use the net proceeds from the offering to reduce the outstanding borrowing under its revolving line of credit, for offering fees and expenses, and for general corporate purposes.

The offering is subject to customary closing conditions and is expected to close on or around June 2, 2015. (Original Source)

Shares of Celadon closed yesterday at $23.96. CGI has a 1-year high of $29.15 and a 1-year low of $18.12. The stock’s 50-day moving average is $25.82 and its 200-day moving average is $24.35.

On the ratings front, Celadon has been the subject of a number of recent research reports. In a report issued on April 29, Stephens Inc analyst Brad Delco upgraded CGI to Buy, with a price target of $32, which represents a potential upside of 33% from where the stock is currently trading. Separately, on March 23, BB&T’s Thomas Albrecht upgraded the stock to Buy .

According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Brad Delco and Thomas Albrecht have a total average return of 54.7% and 0.3% respectively. Delco has a success rate of 80.0% and is ranked #888 out of 3610 analysts, while Albrecht has a success rate of 45.5% and is ranked #2580.

Celadon Group Inc, through its subsidiaries, provides truckload transportation services between United States, Canada and Mexico. It offers services such as long-haul, regional, dedicated, less-than-truckload, intermodal and logistics services.