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Graham Corp. plans to raise nearly $4 million in stock sale

Graham Corp., moving to take advantage of a stock price that has more than tripled during the last year, plans to raise nearly $4 million by selling additional shares of its stock, the Batavia-based company said.

Graham said the proposed stock sale, which would be done over time in a series of private transactions, would raise funds that the heat transfer and vacuum equipment maker could use for working capital and other purposes.

The company said in a filing with the Securities and Exchange Commission that it could use some of the money it raises through the stock sale to buy computer software and manufacturing equipment.

"Graham's stock continues to hang in there quite well," said Brad McAdam, the research director at the Bullfinch Funds in the Rochester suburb of Mendon.

Graham plans to sell an additional 99,123 shares of its stock, which would increase the number of shares outstanding by 5.5 percent. The shares will be sold at prices it negotiates with buyers in private transactions or possibly through a broker-dealer, although the company has not reached any agreements to do that.

Graham's shares have soared over the last year as the company's sales and earnings have rebounded in step with its key energy and petrochemical markets, spurred by rising oil prices.

As a result, Graham is on track to post its highest annual sales in at least eight years. The company's profits during the quarter that ended in June were its biggest in more than two years as Graham's sales jumped by 42 percent and its flow of new orders soared by 51 percent.

e-mail: drobinson@buffnews.com

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