Why Hain Celestial Is Tumbling Today
Shares of Hain Celestial (NASDAQ: HAIN) tumbled over 11% in morning trading Thursday after the organic tea and food company announced it would issue almost 12.4 million new shares of stock in a secondary offering. As of 12:38 p.m. EST, shares were down 10.6%.
At an expected range of $45.50 to $46.50 per share, Hain would raise about $570 million, but even though the pricing at the midpoint was only about 4% below where the stock closed yesterday, the market reacted badly to the announcement.
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Source Fool.com
