Shares of Bionano Genomics (BNGO) surged 5.06% in after-hours trading on Tuesday, showing signs of a potential rebound following a dramatic 38% decline during the regular trading session. The stock's volatility comes in the wake of the company's announcement of a $10 million public offering.

Earlier in the day, Bionano Genomics priced its public offering of 5 million shares, along with Series E and short-term Series F warrants, at a combined price of $2.00 per share. The offering, which is expected to close around September 17, aims to raise approximately $10 million in gross proceeds. The company stated that the net proceeds will be used for working capital and general corporate purposes.

The initial market reaction to the public offering news was severely negative, with BNGO shares plummeting to a 52-week low of $1.50 during regular trading hours. However, the after-hours rally suggests that some investors may view the stock as oversold, potentially seeing value at the lower price levels. It remains to be seen whether this after-hours recovery will sustain in the coming trading sessions as the market continues to digest the implications of the public offering on the company's future prospects and potential share dilution.