Kenexa Jumping 14% On Secondary Offering

Kenexa Corp. KNXA shares are jumping this afternoon, gaining $4.11 to $32.10, a gain of 14.6% after the company priced its secondary offering at $27.75. The company sold 3 million shares in the offering. The company said it expects to receive net proceeds of approximately $78.7 million after expenses. It has also granted the underwriters a 30-day option to purchase up to 450,000 additional shares solely to cover over-allotments, if any. The company intends to use the net proceeds from the offering for working capital, general corporate purposes and potential acquisitions or investments in strategic businesses or technologies. The offering is expected to close on May 25, 2011, subject to customary closing conditions. Cowen and Company and Lazard Capital Markets LLC are acting as joint book-runners for the offering. JMP Securities, Oppenheimer & Co. and Wedbush Securities are acting as co-managers for the offering. Kenexa Corporation and its subsidiaries provide software, proprietary content, and services that enable organizations to recruit and retain employees. The company offers hiring solutions and retention solutions.