Fathom Holdings Announces Closing of Underwritten Public Offering of Common Stock
Rhea-AI Summary
Fathom Holdings (Nasdaq: FTHM) has successfully closed its previously announced underwritten public offering of 3,000,000 shares of common stock at $2.00 per share. The company received net proceeds of approximately $5.4 million after underwriting discounts and expenses.
The offering, managed by Roth Capital Partners, includes a 45-day option for the underwriter to purchase up to an additional 15% of shares on the same terms. CEO Marco Fregenal indicated that the capital raise will strengthen the company's financial foundation and support growth initiatives, including sales and marketing investments and strategic opportunities.
Positive
- Raised $5.4 million in net proceeds to strengthen financial position
- Additional flexibility through 45-day overallotment option for 15% more shares
- Funds allocated for growth initiatives and strategic opportunities
Negative
- Significant shareholder dilution through 3 million new shares
- Low offering price of $2.00 per share indicates challenging market conditions
News Market Reaction – FTHM
On the day this news was published, FTHM gained 8.33%, reflecting a notable positive market reaction. Argus tracked a peak move of +14.5% during that session. Our momentum scanner triggered 19 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $6M to the company's valuation, bringing the market cap to $72M at that time.
Data tracked by StockTitan Argus on the day of publication.
CARY, N.C., Sept. 22, 2025 /PRNewswire/ -- Fathom Holdings Inc. (Nasdaq: FTHM), a national, technology-driven real estate services platform, today announced the closing of its previously announced underwritten public offering of 3,000,000 shares of its common stock at a price of
The Company also granted the underwriter of the offering a 45-day option to purchase up to an additional
Roth Capital Partners acted as sole manager for the offering.
"We view this capital raise as an important step in strengthening our financial foundation while giving us additional flexibility to accelerate our growth strategy," said Marco Fregenal, CEO of Fathom Holdings. "The proceeds will allow us to continue to invest in sales and marketing initiatives, pursue strategic opportunities that enhance our platform, and support ongoing operations. Ultimately, these efforts are aimed at creating a healthier, more resilient company that we believe can drive sustained profitability and long-term shareholder value."
A shelf registration statement relating to the shares of common stock to be issued in the offering was filed with the Securities and Exchange Commission (the "SEC") and is effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Copies of the prospectus in connection with this offering was filed with the SEC and may be obtained from Roth Capital Partners, LLC, 888 San Clemente,
About Fathom Holdings Inc.
Fathom Holdings Inc. is a national, technology-driven real estate services platform integrating residential brokerage, mortgage, title, and SaaS offerings to brokerages and agents by leveraging its proprietary cloud-based software, intelliAgent. The Company's brands include Fathom Realty, Encompass Lending, intelliAgent, LiveBy, Real Results, Verus Title, and Cornerstone. For more information, visit www.FathomInc.com.
Cautionary Note Concerning Forward-Looking Statements
This press release contains "forward-looking statements" that involve risks and uncertainties which we expect will or may occur in the future and may impact our business, financial condition and results of operations. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including risks associated with general economic conditions, including rising interest rates; the Company's ability to generate positive operational cash flow; risks associated with the Company's ability to continue achieving significant growth; the Company's ability to continue its growth trajectory while achieving profitability over time; risks related to ongoing and future litigation; and other risks as set forth in the Risk Factors section of the Company's most recent Form 10-K as filed with the SEC and supplemented from time to time in other Company filings made with the SEC. Copies of the Company's Form 10-K and other SEC filings are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release except as required by law.
Investor Contact:
Matt Glover and Clay Liolios
Gateway Group, Inc.
949-574-3860
FTHM@gateway-grp.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/fathom-holdings-announces-closing-of-underwritten-public-offering-of-common-stock-302563400.html
SOURCE Fathom Holdings Inc.
FAQ
How much did Fathom Holdings (FTHM) raise in its public offering?
What is the price per share for FTHM's public offering in September 2025?
How will Fathom Holdings use the proceeds from its 2025 stock offering?
Who was the underwriter for Fathom Holdings' September 2025 stock offering?
What overallotment option was granted in FTHM's 2025 public offering?
