ABAT Plunges After Capital Raise Announcement

Shares of Advanced Battery Technologies Inc. (ABAT) are down sharply this morning. The co.’s stock printed the second-biggest decline in the R2K, sliding more than 13 percent to a LOD of $3.69. The maker of rechargeable batteries said it entered into agreements with several institutional investors for a registered direct placement of approximately $30 million of common stock at a price of $4.00 per share. The Company will issue a total of 7,500,000 shares to the institutional investors.

Technically speaking, shares of ABAT, which are up 23.34% on the year,  are seeing significant volume; mid-way through the session the security has already traded over 4 million shares, well above the daily average volume of 960,000 shares.

Advanced Battery currently trades at a trailing P/E of 7.27, a forward multiple of 6.28 and a P/E to growth ratio of 17.50. The 52 week trading range for the ticker has been between $3.02 and $4.80 per share.

ABAT lost $0.51, or 12.03% to $3.76 at 12:22 p.m. EST in Nasdaq composite trading

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About Ron Haruni 1122 Articles
Ron Haruni is the Co-Founder & Editor in Chief of Wall Street Pit.

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