SUNNYVALE, Calif.-Operating system company PalmSource Inc. announced it plans to offer 2.75 million shares of common stock. PalmSource’s stock was down almost 10 percent after the news to about $21.50 per share.
PalmSource said it granted its underwriters an option to purchase an additional 412,500 shares of common stock to cover over-allotments, if any. The company said an underwriting group managed by Deutsche Bank Securities Inc., Needham & Company Inc. and Thomas Weisel Partners L.L.C. will offer the stock.
The move comes shortly after PalmSource split from PalmOne. PalmSource is working to sell the Palm OS operating system to mobile-phone and personal digital assistant makers.
