Sidus Space (NASDAQ:SIDU) shares dropped 21% on Thursday after the aerospace and defense technology company announced plans for a $100 million registered direct offering of Class A common stock.
The company priced the offering at $5.08 per share, issuing 19,685,039 shares of Class A common stock and pre-funded warrants. Sidus Space said the transaction was priced at-the-market in accordance with Nasdaq regulations.
The stock had closed Wednesday’s session at $6.09 before the offering announcement.
Sidus Space said it plans to use the net proceeds from the financing for working capital needs and other general corporate purposes.
The company expects gross proceeds from the transaction to total approximately $100 million before deducting placement agent fees and additional offering-related expenses.
The offering is scheduled to close on May 29, 2026, pending customary closing conditions.
ThinkEquity is serving as the sole placement agent for the deal.