Follow-On Offering

Technology & Services
Follow-On Offering

Summary

Baird served as lead book-running manager on this offering.

About

Rosetta Stone Inc. (“Rosetta Stone” or the “Company”) (NYSE: RST) recently completed a follow-on offering of 3,500,000 shares of common stock at a price of $16.00 per share, generating gross proceeds of $56 million. Of the 3,500,000 shares of common stock offered, the selling stockholders, ABS Capital Partners and Norwest Equity Partners LP, sold 3,490,000 shares of common stock and Rosetta Stone sold 10,000 shares. Rosetta Stone intends to use the net proceeds from the offering of its 10,000 shares to pay for the fees and expenses of the Company incurred in connection with the offering. Rosetta Stone did not receive any proceeds from the sale of the shares of common stock offered by the selling stockholders.

Rosetta Stone is a leading provider of technology- based, language- learning solutions. The Company develops, markets and sells language- learning solutions consisting of software, online services, mobile applications and audio practice tools primarily under the Rosetta Stone brand. The Company’s teaching method, which the Company calls Dynamic Immersion, is designed to leverage the innate, natural language- learning ability that children use to learn their native language. Rosetta Stone’s courses are based on the Company’s proprietary interactive technologies and pedagogical content and utilize a sophisticated sequencing of images, text and sounds to teach a new language without translation or grammar explanation. Rosetta Stone offers courses in over 30 languages. The Company is headquartered in Arlington, Virginia.

For additional information about this transaction, please contact:

Andrew Snow 312-609-4972
Peter Kies 414-765-7262
Dan Alfe 312-609-4922
Les Cheek 617-426-5789
David Silver +44 (0) 20 7667 8216
Tom Lacy 414-298-7648
Technology & Services
Follow-On Offering
Date
June 2013
Company
Rosetta Stone Inc.
Transaction
M&A
Sectors
Technology & Services
Target Location
North America

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