Why Chiasma’s Shares Are Down Today

Why Chiasma’s Shares Are Down Today

On Wednesday morning, Chiasma, Inc. (NASDAQ: CHMA) announced the pricing of a public offering of common stock and pre-funded warrants. Naturally, investors are not thrilled about the company's decision to dilute its existing shareholders, which explains why Chiasma's shares are plunging today. Chiasma first announced its intention to initiate a public offering of common stock and pre-funded warrants after the market closed on Tuesday.