Why VinFast Auto Stock Plunged Again Today
Less than two months after shares of VinFast Auto (NASDAQ: VFS) soared following its public offering, the stock dropped sharply today after the company warned of insider share sales. As of 12:37 p.m. ET on Wednesday, shares were down by 13%, and the stock was trading below its listing price.
The Vietnam-based electric vehicle (EV) company soared more than 68% on its first day of trading on the exchange after going public through a special purpose acquisition company (SPAC). Much of those gains came because of the very low amount of shares available to trade. The company founder controlled about 99% of shares.
Now VinFast says it is releasing more than 46 million shares from lock-up restrictions that can go on the market. The company will receive all proceeds from those sales, net of expenses including commissions and fees.
Source Fool.com
