Stock Market

Why Is Inspire Veterinary (IVP) Stock Down 25% Today?

Inspire Veterinary (NASDAQ:IVP) stock is falling on Thursday following the closing of a public offering for the veterinary hospital company’s shares.

Inspire Veterinary completed a $6 million public offering for its shares yesterday. That saw the company sell 6 million shares of IVP stock at a price of $1 per share. It also offered pre-funded warrants for investors whose beneficial ownership would exceed 4.99%.

Inspire Veterinary also outlined its plans for the funds raised from this public offering. The company intends to use the money for “working capital, general corporate purposes, payments to a third-party marketing agency for services related to marketing and advertising, strategic investments, and any additional future acquisition (if any).”

What This Means for IVP Stock

A public offering increases the total number of outstanding shares that a company has. This also dilutes the stakes of current investors in the business. This is one of the reasons why IVP stock is falling on Thursday.

The price of the shares in the public offering was also well below the closing price of IVP stock. This is likely another reason why the company’s shares are losing ground today.

IVP stock is down 25% as of Thursday morning. However, the company’s shares also saw a 110.2% rally on Wednesday.

Investors will want to stick around for even more of the most recent stock market stories today!

We have all of the hottest stock market news worth reading about on Thursday! A few examples include what’s happening with shares of Volcon (NASDAQ:VLCN) and Blue Star Foods (NASDAQ:BSFC) stock, as well as the biggest pre-market stock movers this morning. All of this info is ready at the following links!

More Thursday Stock Market News

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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

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