AirNet Technology Inc. Soars 18.76% on $180M Digital Asset Raise

AirNet Technology Inc. has surged 18.76% in pre-market trading on September 1, 2025, following the completion of a registered direct offering that raised $180 million in digital assets, including 819.07 Bitcoin and 19,928.91 Ethereum.

This significant capital raise is part of a broader trend favoring small-cap stocks, which are poised for a comeback in 2025. After years of underperformance, small-cap stocks are benefiting from changing economic dynamics, attractive valuations, and supportive policy shifts. The Federal Reserve’s pivot toward monetary easing, with lower interest rates, is particularly beneficial for small-cap companies, which often have higher exposure to floating-rate debt. This environment allows these firms to invest in growth opportunities, improve margins, and participate in increased merger and acquisition (M&A) activity.

Additionally, small-cap valuations remain attractive, with price-to-earnings (P/E) ratios near historical averages but trading at an 11% discount relative to large caps. Analysts project robust earnings growth for small caps, with expectations of 15% in 2024 and over 30% annually through 2026. This growth is driven by economic expansion, reshoring efforts, and infrastructure investments, positioning small caps for significant upside potential.

Structural shifts in supply chains, encouraged by geopolitical tensions and federal incentives, are also creating opportunities for smaller U.S. companies. Increased capital expenditure on reshoring initiatives and infrastructure development provides a multi-year growth runway for smaller firms. M&A activity is another potential catalyst, as strategic buyers resume deal-making in sectors like technology, healthcare, and industrials.