Canopy Growth Stock Is Falling Thursday: What's Going On?
Portfolio Pulse from Adam Eckert
Canopy Growth Corp (NASDAQ:CGC) shares are trading lower after the company announced a new at-the-market equity offering program to issue and sell up to $250 million worth of its common stock. The proceeds will be used for investments, potential acquisitions, working capital, and debt repayments.
June 06, 2024 | 3:00 pm
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Canopy Growth Corp (NASDAQ:CGC) shares are down 8.19% after announcing a $250 million at-the-market equity offering program. The company plans to use the proceeds for investments, acquisitions, working capital, and debt repayments.
The announcement of a significant equity offering program often leads to a decline in stock price due to potential dilution of existing shares. The 8.19% drop in CGC shares reflects investor concerns about dilution and the company's need for additional capital.
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