What dilution or supply shock could arise from the underwriters' 30‑day option to purchase up to 2,250,000 additional shares?

The underwriters’ 30‑day “greenshoe” option creates a modest but measurable secondary‑supply shock. If exercised in full, 2.25 million extra Class A shares will be poured back into the market at the same $12.75 price as the primary 15 million‑share sale. For a company whose float is roughly 30 million shares (typical for a NASDAQ‑listed growth firm), this represents a 7‑8 % increase in available stock over the next month‑plus. The incremental supply can trigger short‑term downward pressure on the price, especially if demand from institutional investors does not keep pace with the added liquidity.

From a fundamentals standpoint, the capital raise is not for dLocal itself—the proceeds remain with the selling shareholder—so there is no change to the firm’s balance sheet or growth trajectory. Nevertheless, the market will treat the extra shares as a dilution of existing ownership stakes: each holder’s proportionate slice of future earnings and cash‑flow will be modestly reduced, which can modestly compress valuation multiples if the market anticipably spreads the offering across a larger share base.

Trading implication: Anticipate a brief‑term dip or heightened volatility around the offering close (Sept 5) and during the green‑shoe window (next 30 days). Positionally, a short‑term sell‑or‑reduce stance on DLO near the $12.75 level can capture the supply‑shock bounce‑back, while a tighter stop just above the offering price limits downside if execution is limited. If the option is not exercised, the price may rebound more quickly; monitoring the underwriters’ demand signals—e.g., large‑block purchases—will be key to gauging how much of the 2.25 M‑share allotment will actually hit the market.