Shares of reAlpha Tech Corp. (NASDAQ:AIRE) plunged 25.7% after the real estate-focused AI company announced a public offering expected to raise $2 million in gross proceeds.
The offering includes 13.3 million shares of common stock priced at $0.15 per share, along with Series A-1 and Series A-2 warrants that could enable investors to purchase an additional 26.6 million shares. The offering price reflects a substantial discount to the stock’s previous trading levels.
Both warrant series carry an exercise price of $0.15 per share and will become exercisable upon shareholder approval. The A-1 warrants will expire five years after approval, while the A-2 warrants will expire in two years.
H.C. Wainwright & Co. is acting as the exclusive placement agent. The offering is expected to close on or around July 18, 2025, pending customary conditions.
The company said it intends to use the net proceeds for general corporate purposes and working capital needs. These could include acquisitions, capital expenditures, debt repayment, or even cryptocurrency investments in line with reAlpha’s existing policy.
The sharp decline in share price highlights investor concerns over potential dilution and the aggressive pricing of the offering.
reAlpha Tech Corp. stock price
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