As Zymergen Crashes 76%, Cathie Wood Piles Up $2.5M Worth Of Shares

A bullish Ark Invest on Wednesday more than doubled its stake in Zymergen Inc ZY after it plummeted due to the company’s “immaterial” revenue warning.

The Cathie Wood-led New York-based investment management firm snapped up 2.46 million shares, estimated to be worth about $20.4 million, in Zymergen on the day shares of the company closed 76.31% lower at $8.25, far below its initial public offering price of $31.

See Also: Why Zymergen Stock Is Crashing Today

Wood had in May said it believed Zymergen has a unique approach in synthetic biology, including molecular discovery, microbial design, manufacturing scale and that it is watching with interest at the company’s first electronic film product, Hyaline, as evidence of its platform’s strength.

Hyaline, launched in 2020, is now facing commercial ramp-up delay and Zymergen has warned investors that revenue next year will be “immaterial” and its co-founder and CEO Josh Hoffman is stepping down from the position. 

Ark Invest holds shares of Zymergen via the Ark Genomic Revolution ETF ARKG and no other ETF holds the stock.