Why Barnes & Noble (BNED) Stock Is Volatile
Portfolio Pulse from Henry Khederian
Barnes & Noble Education Inc (BNED) shares dropped by 29.6% to $0.09 after announcing equity and refinancing transactions, new leadership changes, and a 1-for-100 reverse stock split. The company raised over $100 million in new equity, converted $34 million in debt to shares, and extended a $325 million loan facility. The reverse split aims to meet NYSE's minimum bid price requirement.
June 11, 2024 | 3:55 pm
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Barnes & Noble Education Inc (BNED) shares fell by 29.6% to $0.09 following equity and refinancing transactions, new leadership changes, and a 1-for-100 reverse stock split. The company raised over $100 million in new equity, converted $34 million in debt to shares, and extended a $325 million loan facility. The reverse split aims to meet NYSE's minimum bid price requirement.
The significant drop in BNED's share price is due to the announcement of equity and refinancing transactions, new leadership changes, and a 1-for-100 reverse stock split. These actions indicate financial restructuring and attempts to meet NYSE's minimum bid price requirement, which can be seen as a negative signal by investors.
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