Nasdaq Stock Sinks Following Major Share Sale

Wednesday, 20 March 2024, 22:42

The recent plunge in Nasdaq's stock value was triggered by a significant share sale by a major stockholder. Despite Nasdaq indexes showing positive gains, the company's shares dipped over 2% due to the news. The secondary offering by Borse Dubai, Nasdaq's announcement on receiving no proceeds from the sale, and future implications on ownership and board representation are discussed in detail.
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Nasdaq Stock Sinks Following Major Share Sale

A big secondary sale

Shortly after market closed on Tuesday, Nasdaq and Borse Dubai announced that the latter company had launched a secondary offering of Nasdaq's common stock. The U.A.E.-based exchange operator is selling just under 27 million shares of its American peer and has granted the sale's underwriters a 30-day option to purchase an additional 4 million-plus shares.

The seller will remain an investor

In the joint press release, Borse Dubai explained that it is selling the stock to enhance its capital structure and boost its liquidity. It quoted its CEO Essa Kazim as saying, "We continue to be a long-term shareholder in Nasdaq and are invested in the success of the company."


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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