NetCapital shares experienced a significant decline of 39% to reach a new 52-week low, plummeting to just 20 cents per share. This decline comes after the company announced a public offering of 16 million shares, coupled with warrants to purchase up to an additional 16 million shares. The combined public offering price for these shares and associated warrants is 25 cents per share.

On Thursday, the stock closed the session down 11%, marking a total decrease of 83% over the past 12 months.

The warrants included in this offering will have an exercise price of 25 cents per share. They will be exercisable starting from the effective date of stockholder approval for the issuance of the shares that can be obtained through exercising these warrants. Furthermore, the warrants will remain valid for a period of five years from their initial exercise date.

The closing of this public offering is estimated to occur on or around Wednesday.

Upon completion of the offering, the company expects to generate approximately $4 million in proceeds. This figure is before any deductions for the placement agent's fees and other expenses related to the offering that are payable by the company.

NetCapital plans to allocate the proceeds derived from this offering for sales and marketing purposes, as well as for general working capital needs.

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