STRATA Skin Sciences Inc. (NASDAQ:SSKN) saw its stock plunge 17.7% on Wednesday after the medical technology firm announced a registered direct offering of common shares to raise approximately $2.42 million.
The company, which develops and markets dermatology-focused products, entered into definitive securities purchase agreements with institutional investors for 1,097,547 shares at $2.204 per share. The offering is priced at-market under Nasdaq regulations.
Ladenburg Thalmann & Co. Inc. is acting as the exclusive placement agent, and the transaction is expected to close around September 4, 2025, subject to customary conditions.
STRATA plans to use the proceeds for working capital and general corporate purposes. The new share issuance will dilute existing shareholders’ stakes, which often puts downward pressure on stock prices, as each current share represents a smaller percentage of ownership post-offering.
The stock’s decline reflects investor concern over dilution, despite the capital infusion that will strengthen the company’s financial position.
STRATA Skin Sciences stock price
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