POET Technologies Plc (NASDAQ:POET) witnessed a sharp decline followed by a recovery in its stock price on Wednesday. Traders actively sold off the equity in the market following the closing of a massive $400 million registered direct offering on Monday.
The capital raise involved issuing 19.05 million new common units and an equal number of warrants to a single institutional investor at $21 per unit.
Short Seller Alleges Dead Partnerships
Compounding the volatility, short-seller firm Night Market Research disclosed a bearish position against the semiconductor company on Friday. In its published note, the firm alleged that POET has systematically overstated its partnerships and misled investors about its commercialization timeline.
Night Market Research explicitly claimed that key corporate relationships are defunct, stating, “Celestial AI / Marvell Technology Inc (NASDAQ:MRVL) …
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