Seanergy Maritime's Stock Plunges After Share Offering Prices At Deep Discount

By Tomi KilgoreMarketsMarketWatch Pulse

Shares of Seanergy Maritime Holdings Corp. resumed trading, and plunged 26% in midday trade Friday, after the bulk shipping services company announced the pricing of a large share offering at a significant discount to current prices. The stock was up 0.6% at 12:10 p.m. ET prior to the trading halt. The Greece-based company said it sold 1.3 million shares, which represents 6.3% of the shares outstanding, to institutional investors at $2.75 a share, or 29% below Thursday's closing price of $3.90. Seanergy expects to use the $3.3 million in net proceeds for general corporate purposes, including vessel acquisitions. The stock had plummeted 46% on Thursday, after soaring more than three-fold over the previous four sessions. It has dropped 15% year to date, while the S&P 500 has gained 6.8%.

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