Why iClick Interactive Asia Shares Are Down 50%

iClick Interactive Asia Group Ltd ICLK shares are trading lower by 54.5% to $1.15 during Friday’s session after the company announced the termination of its merger agreement with TSH Investment Holding Limited and TSH Merger Sub Limited.

Despite fulfilling the necessary conditions and indicating readiness to proceed with the closing, the Parent and Merger Sub did not finalize the process within the specified timeframe.

In response, iClick, acting upon the recommendation of a Special Committee, has exercised its right to terminate the agreement. They have demanded a termination fee of $1.8 million from the Parent. This termination means that the proposed merger will not move forward as originally planned.

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Should I Sell My ICLK Stock?

Whether to sell or hold a stock largely depends on an investor's strategy and risk tolerance. Swing traders may sell an outperforming stock to lock in a capital gain, while long-term investors might ride out the turbulence in anticipation of further share price growth.

Similarly, traders willing to minimize losses may sell a stock that falls a certain percentage, while long-term investors may see this as an opportunity to buy more shares at a discounted price.

Shares of iClick Interactive Asia ICLK have lost 60.91% year to date. This compares to the average annual return of -73.01%, meaning the stock has outperformed its historical averages. Investors can compare a stock's movement to its historical performance to gauge whether this is a normal movement or a potential trading opportunity.

Investors may also consider market dynamics. The Relative Strength Index can be used to indicate whether a stock is overbought or oversold. iClick Interactive Asia stock currently has an RSI of 14.26, indicating oversold conditions.

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According to data from Benzinga Pro, SOFI has a 52-week high of $4.01 and a 52-week low of $1.06.