Piper Sandler lowers Arbor Realty Trust stock price target on credit issues
Investing.com -- Boqii Holding Ltd (NYSE:BQ) stock tumbled 16.8% on Monday after the pet-focused platform announced a registered direct offering that would raise approximately $4.2 million but dilute existing shareholders.
The Chinese pet ecosystem company has entered into a definitive agreement to sell 1.5 million Class A ordinary shares at $2.80 per share to certain investors. The company is also offering pre-funded warrants in lieu of shares at the same effective price, less the $0.16 per share exercise price.
Univest Securities is serving as the sole placement agent for the transaction, which is expected to close around November 4, 2025, subject to customary closing conditions.
The significant stock decline reflects investor concerns about share dilution, as the new offering increases the company’s outstanding share count. The $2.80 per share offering price also appears to represent a discount to recent trading levels, contributing to the negative market reaction.
Boqii Holding operates as an online and offline platform in China’s pet industry, offering a range of pet products and services. The company has not specified how it intends to use the proceeds from this offering.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.