Why Neptune Wellness Solutions Stock Hit A New All-Time Low Today
Portfolio Pulse from Henry Khederian
Neptune Wellness Solutions Inc (NASDAQ:NEPT) shares are trading lower by 10% after the company announced pricing of a $4.5 million public offering of 1.8 million shares at $2.50 per share. The company plans to use the proceeds for working capital, including payment of accounts payable due to suppliers.
September 25, 2023 | 2:25 pm
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Neptune Wellness Solutions' stock price is down 10% following the announcement of a $4.5 million public offering. The company plans to use the proceeds for working capital.
The announcement of a public offering often leads to a decrease in the stock price due to dilution of shares. In this case, Neptune Wellness Solutions' stock price has dropped 10% following the announcement. The funds raised will be used for working capital, indicating the company may be facing liquidity issues, which could further negatively impact the stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100