Credo Technology Group Holding Ltd (CRDO)

Credo Technology (CRDO) stock fell by 9.33%, attributed to Chief Operating Officer Lam Yat Tung's recent actions. Lam sold a substantial portion of his holdings in Credo Technology Group Holding Ltd, totaling over $1.9 million in transactions on April 11, 2024.

• Transaction Details: Lam Yat Tung engaged in multiple transactions, selling shares at prices ranging from $20.81 to $23.04. These prices reflect weighted average sale prices for the shares disposed of on that day. Following these transactions, Lam's direct ownership in the company has been adjusted.
• Impact on Stock Price: Investors may perceive Lam Yat Tung's significant sell-off of shares as a lack of confidence in Credo Technology's future performance. This could lead to a negative sentiment among investors, causing them to sell their shares and leading to a decline in the stock price. Additionally, the large volume of shares sold by Lam could result in an oversupply of CRDO shares in the market, further driving down the stock price.

Shares of Credo Technology Group Holding Ltd (CRDO) dropped by 5.67% from $18.70 to $17.64 in the trading on Wednesday, December 6, 2023. The reason why CRDO is down today is due to the company's announcement of a pricing for an underwritten public offering of its ordinary shares. Credo Technology Group Holding Ltd announced the pricing of an underwritten public offering of 10,000,000 of its ordinary shares at a price to the public of $17.50 per share. Of these shares, 8,940,000 are being offered by Credo, and 1,060,000 shares are being offered by selling shareholders. The gross proceeds from the offering to Credo, before deducting underwriting discounts and commissions and other offering expenses, are expected to be $156.5 million. The offering is scheduled to close on December 8, 2023, subject to customary closing conditions. In addition, the underwriters for the offering have a *30-day option** to purchase up to an additional 1,500,000 ordinary shares from Credo at the price to the public, less underwriting discounts and commissions. Investors may have reacted to the potential dilution of ownership resulting from the offering, which could have contributed to the decline in CRDO's share price.