Intellia Therapeutics' stock experienced a significant 24-hour plunge of 5.06% on Monday, with the decline primarily occurring during intraday and post-market trading sessions.

The sharp drop is directly attributed to the company's announcement that it has commenced an underwritten public offering of $150 million of its common stock. Such offerings typically lead to investor concerns over share dilution, which reduces the ownership percentage of existing shareholders, often resulting in downward pressure on the stock price.

The capital raise news followed the earlier release of positive Phase 3 trial results for the company's lonvo-z gene therapy in hereditary angioedema, which had initially provided support for the stock. The subsequent offering announcement prompted a market reaction focused on the dilutive effect of the new share issuance.