ChargePoint Holdings Inc CHPT shares are trading lower by 3.28% to $3.66 Thursday morning. The stock is falling on downward momentum after the company on Wednesday announced it has secured a commitment from institutional investors, including the lead investor of their $300 million convertible notes issued in April 2022.
What Happened?
ChargePoint shares are falling again Thursday as institutional investors committed to purchasing $175 million in common stock through an "at-the-market" offering, in addition to ChargePoint raising $57 million in the third fiscal quarter of 2024.
These funds, along with a $150 million revolving credit facility, aim to support ChargePoint's goal of achieving adjusted EBITDA profitability by the fourth fiscal quarter of the following year.
ChargePoint also plans to modify the terms of their notes with the lead investor, extending the maturity date to April 1, 2028, increasing the cash coupon to 7% annually, raising the payment in kind coupon to 8.5% per year, and adjusting the conversion price to $12.00 per share.
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According to data from Benzinga Pro, ChargePoint has a 52-week high of $14.62 and a 52-week low of $3.52.
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