AXT Inc. (NASDAQ:AXTI) shares were trading higher but have since reversed and began trading lower after the company announced it priced its $87 million public offering of 7,098,492 shares at $12.25 per share.
AXT stock is among today’s weakest performers. What’s behind AXTI decline?
What To Know: AXT said the offering is expected to generate gross proceeds of approximately $87 million before underwriting discounts, commissions and other offering expenses.
The company said it plans to use the net proceeds primarily to increase manufacturing capacity at its subsidiary, Beijing Tongmei Xtal Technology Co., Ltd., to support production of indium phosphide substrates for export. Additional uses include research and development of new or improved products, as well as general corporate and working capital purposes.
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AXT Price Action: At the time of writing, AXT shares are trading 3.45% lower at $14.84, according to data from Benzinga Pro.
This illustration was generated using artificial intelligence via Midjourney.
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