Gorilla Technology Taps $105M to Support Bid Bonds & Growth Plans

Gorilla Technology Group Inc. GRRR recently announced a $105 million direct offering of common stock. This includes a $100 million investment from a new institutional investor and additional funds from an existing shareholder. The company will sell 6 million shares (or equivalent warrants) at $17.50 per share. The deal is expected to close around July 2, 2025.This is a major capital raise for GRRR. The participation of a new fundamental institutional investor signals strong external confidence in the company’s potential. The fresh capital gives Gorilla more flexibility to pursue large-scale projects, especially those requiring upfront guarantees, reserves, or bid bonds. It will also help fund acquisitions that the company had previously announced.In late June, it agreed to acquire two Thai tech firms, CNS and its subsidiary CANS, gaining access to their mobility-first AI platforms and a strong customer base across all of Thailand. These companies specialize in AI-driven customer engagement, video analytics and cybersecurity.The $17.50 share price indicated a significant discount from its previous closing price of $22.38. However, the influx of $105 million boosts Gorilla’s ability to win major contracts, strengthen its balance sheet and expand strategically. If the capital is used efficiently, it could drive long-term growth and market share, especially in smart city and AI-driven security tech, areas where Gorilla is positioning itself as a key player.The funding empowers Gorilla to pursue AI and edge tech acquisitions, diversify revenues and stabilize operations by securing bid bonds, potentially improving its credit profile and access to lower-cost capital.How Are GRRR’s Rivals Accelerating Global Growth?Top peers, such as Palo Alto Networks, Inc. PANW and Zscaler, Inc. ZS, are rapidly scaling their global reach through strategic acquisitions. Palo Alto has strengthened its AI security portfolio with high-profile deals like Protect AI, announced during the RSA Conference, as part of its broader push into cloud-native security for global clients. Meanwhile, Zscaler is expanding its "Zero Trust Exchange" platform internationally, reinforcing it with acquisitions such as Red Canary and Avalor. Earlier deals, including TrustPath and Smokescreen, have also helped boost Zscaler’s global delivery capabilities and regional presence.Gorilla Technology’s Price Performance, Valuation and EstimatesShares of Gorilla Technology have gained 10.1% year to date, outperforming the broader industry. Image Source: Zacks Investment ResearchFrom a valuation standpoint, Gorilla Technology trades at a forward price-to-sales ratio of 3.25X, above the industry average of 2.86X. GRRR carries a Value Score of F.The Zacks Consensus Estimate for Gorilla Technology’s 2025 earnings implies a 115.8% improvement year over year, followed by 12.4% growth next year. Image Source: Zacks Investment ResearchThe stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 256 positions with double- and triple-digit gains in 2024 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW): Free Stock Analysis Report Zscaler, Inc. (ZS): Free Stock Analysis Report Gorilla Technology Group Inc. (GRRR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks