Shares of Virgin Galactic Holdings Inc. plummeted on Friday after the space-tourism company disclosed it indends to raise $400 million through the sale of common stock in order to fund the "development of its spaceship fleet and infrastructure to scale its commercial operations."
The California-based firm revealed in a securities filing on June 22 that it successfully completed the stock offering of $300 million under the previous agreement.
Virgin Galactic's stock tanked 18.52% to sell at 4.34 apiece at 10:37 am ET, seemingly offsetting optimism about plans for its first commercial flight which boosted the company's shares last week.
