ValueMax's stock fell sharply by 3.48% during intraday trading on Thursday, reflecting investor reaction to the company's latest capital-raising announcement.
The pawnbroking and secured moneylending services provider disclosed plans to raise between SG$5 million and SG$25 million through the issuance of a six-month commercial paper in digital securities. The securities are priced at 3.5% per annum and will be listed on the SDAX Exchange.
Such fundraising activities often lead to selling pressure as investors assess the implications for the company's financial structure and potential dilution.