E-learning company DigitalThink Inc. has received $10 million in new funding through a private placement of 4.16 million shares of common stock and warrants to purchase an additional 1.46 million shares. DigitalThink’s stock is traded on the NASDAQ.
DigitalThink sold the common stock for $2.40 per share plus a warrant to purchase 0.35 of a share of common stock, exercisable at a price of $3.45 per share.
The company says proceeds from the placement will be used for possible acquisitions and working capital. "This financing further strengthens our balance sheet providing the company greater flexibility to pursue sales growth opportunities and strategic acquisitions," said Michael Pope, president and CEO of DigitalThink. "We are pleased that the new investors share our confidence in DigitalThink and our commitment to expanding the business."
DigitalThink`s customers include Circuit City, Kinko`s, Mazda, ADP Dealer Services, BearingPoint, EDS, and Red Hat.