Why Performance Shipping Shares Are Plunging Today

Performance Shipping Inc. PSHG priced its public offering of 7.62 million units at $1.05 per unit.
Each unit consists of one common share and one Class A warrant to purchase one common share and will immediately separate upon issuance.
Each Class A warrant is exercisable for one common share at an exercise price of $1.05 per share and will expire five years from issuance.
The gross proceeds are expected to be ~$8 million. The offering is expected to close on June 1, 2022.
The company has the underwriter a 45-day option to purchase up to an additional 1.14 million common shares and/or pre-funded warrants and/or 1.14 million Class A warrants.
Price Action: PSHG shares are trading lower by 64.8% at $0.64 on the last check Friday.

Overview Rating:

Good

0100