The offering launched on August 5, 2026, with the size and terms initially unspecified and subject to market conditions. Later that same day, Red Violet announced pricing of 1,666,667 shares of common stock at a public offering price of $60.00 per share, for expected gross proceeds of $100 million before underwriting discounts and offering expenses. The public offering price of $60.00 represented a discount of approximately 12.1 percent to the $68.28 last reported Nasdaq sale price of Red Violet common stock on August 5, 2026, the pricing date, as stated in the prospectus supplement. The underwriting discount was $3.00 per share (5 percent), yielding proceeds to the company, before expenses, of $57.00 per share, or $95,000,019 in aggregate on the firm shares.
Red Violet also granted the underwriters a 30-day option to purchase up to an additional 250,000 shares (15 percent of the base offering) at the public offering price less underwriting discounts. The underwriters exercised this option in full on August 6, 2026. The offering closed on August 7, 2026, with total issuance of 1,916,667 shares and estimated net proceeds to the company of approximately $108.6 million, after deducting underwriting discounts, commissions, and estimated offering expenses, consistent with the $115 million aggregate gross offering size (1,916,667 shares multiplied by $60.00 per share) on file for this deal.
Based on the prospectus supplement, Red Violet had 14,130,308 shares of common stock outstanding as of August 3, 2026, prior to the offering. With the underwriters' option exercised in full, shares outstanding immediately after the offering were expected to be approximately 16,046,975, implying dilution of approximately 13.6 percent of pre-offering shares outstanding from the new issuance. The prospectus supplement does not disclose any concurrent share repurchase program tied to this offering.
Raymond James and Needham & Company acted as joint book-running managers and as representatives of the underwriters for the offering. B. Riley Securities and Craig-Hallum acted as co-managers. Lake Street Capital Markets served as financial advisor to Red Violet. Akerman LLP served as legal counsel to Red Violet, including issuing the legal opinion on the legality of the shares (filed as Exhibit 5.1 to the Form 8-K), and Cooley LLP served as legal counsel to the underwriters.
Red Violet stated that it intends to use the net proceeds from the offering for working capital and general corporate purposes, including potential strategic acquisitions. No specific acquisition target, debt repayment use, or other itemized use of proceeds is disclosed in the available filings. The underwriting agreement, dated August 5, 2026, between Red Violet and Raymond James & Associates, Inc. and Needham & Company, LLC, as representatives of the several underwriters, was filed as Exhibit 1.1 to the Form 8-K and includes customary representations, warranties, indemnification obligations, and termination provisions.
The timeline from announcement to settlement was compressed: the offering was announced on August 5, 2026, priced the same day, the underwriters' option was exercised the following day (August 6, 2026), and the transaction closed with delivery of shares on August 7, 2026, two days after launch.