Why Digital Brands Group (DBGI) Stock Is Down 35% Today
Why Digital Brands Group (DBGI) Stock Is Down 35% Today
Investors may also view the need to raise capital at such a low price as a signal that the company is financially strained, which can reduce confidence in its stability and future profitability.Digital Brands Group Inc (NASDAQ:DBGI) shares are trading lower by 35% to 10 cents Tuesday afternoon after the company announced a public offering of 30 million shares of common stock and/or pre-funded warrants at 10 cents per share, aiming to raise $3 million before fees.
數字品牌集團Inc（納斯達克：DBGI）股價週二下跌35%，至10美分，因爲該公司宣佈以每股10美分的價格公開發行3000萬股普通股和/或預先擔保的認股權證，旨在在扣除費用前籌集300萬美元。
The net proceeds will support working capital, general corporate needs, and debt repayment. The offering is set to close on October 30, pending standard conditions.
淨收益將支持營運資金、一般企業需求和償還債務。該交易預計將於10月30日結束，等待標準條件。
Why This Matters: The stock is falling because issuing 30 million new shares at a low price of $0.10 increases the total share count, diluting the value of existing shares, especially as the offering price is lower than recent trading prices.
爲什麼重要：股價下跌是因爲以0.10美元的低價發行3000萬股新股份增加了總股數，稀釋了現有股份的價值，尤其是因爲發行價格低於最近交易價格。
Investors may also view the need to raise capital at such a low price as a signal that the company is financially strained, which can reduce confidence in its stability and future profitability.
投資者也可能認爲以如此低的價格籌集資本是公司財務上的困難信號，這可能會降低對其穩定性和未來盈利能力的信心。
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According to data from Benzinga Pro, DBGI has a 52-week high of $12.80 and a 52-week low of $0.09.
根據Benzinga Pro的數據，DBGI的52周最高價爲12.80美元，52周最低價爲0.09美元。
譯文內容由第三人軟體翻譯。
