Palm raises number of shares in new public offering to 20 million, expects $313.1M in proceeds

Palm adds 4 million shares to new public offering

SUNNYVALE, Calif. — Palm Inc. on Wednesday raised the number of shares it will sell in a new public offering to 20 million from 16 million.

The smart phone maker said it has priced the offering at $16.25 per share and expects to bring in $313.1 million in proceeds, which it will use for working capital and general corporate purposes.

Venture capital firm Elevation Partners plans to buy $37 million of Palm’s shares in the sale. Elevation already owns a stake in Palm.

Palm shares fell 11 cents to close at $16.96.