WF International shares plunge 45.53% intraday as follow-on offering priced at $2.00 per unit triggers immediate shareholder dilution and investor concerns over valuation.

WF International (NASDAQ: WXM) plunged 45.53% intraday after announcing a $3.44 million follow-on public offering priced at $2.00 per unit, triggering immediate shareholder dilution. The offering includes 1.72 million units, each comprising one ordinary share and a warrant exercisable at $2.00, with no minimum offering amount required. The lack of a price floor and the inclusion of immediately exercisable warrants heightened concerns over capital structure dilution, exacerbating the stock’s decline. The company cited proceeds for talent acquisition and working capital, but the move was perceived as a sign of financial strain, particularly as the offering price likely represented a significant discount to prior valuations. Placement agents’ involvement and the absence of a minimum threshold further underscored investor skepticism, driving the sharp intraday sell-off.