Why Applied Optoelectronics Stock Dived by Almost 14% on Monday
The company announced a new capital-raising effort.
Overview
The latest in a series of capital-raising efforts by Applied Optoelectronics (NASDAQ: AAOI) wasn't greeted warmly by shareholders on Monday. On news that the networking hardware specialist is seeking as much as $600 million in upcoming share sales, many sold their stock. It closed the trading day nearly 14% lower.
In a regulatory filing late Friday afternoon, Applied disclosed that it has engaged Raymond James and Needham as sales agents to sell up to that amount of its common stock. The sales will be effected by at-the-market (ATM) offerings to the public.
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Originally published at www.fool.com.
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