Blue Apron Holdings Inc. (NYSE: APRN) Slumps 21% after Announcing 4.7 Million Share Offering

Blue Apron Holdings Inc. (NYSE: APRN) plunged 21.52% after the company announced the pricing of its underwritten public offering of 4.706 million shares of its Class A common. The company priced the stock offering at $4.25 per share and expected gross proceeds of $20 million. 

Blue Apron stock tanks following share dilution 

Usually, secondary offerings hurt the issuer’s stock prices since the offering dilutes the current stockholder’s stake. The stock is trading at $4.35, which is a 21.52 drop from Tuesday’s close at $5.53. In the past six months, the APRN stock has lost 13%  despite hitting $11 in later January this year. 

Before subtracting underwriting discounts and commissions and projected offering costs payable by Blue Apron, and without considering any exercise of the underwriters’ option to buy additional shares, the gross proceeds to Blue Apron from the offering are forecasted to be around $20.0 million. 

Underwriters have 30 days to exercise the option to acquire additional shares. 

Blue Apron has also given the underwriter a 30-day alternative to acquiring up to 705,900 aditional Class A common stock shares at the public offering price, minus underwriting discounts and fees. The company will sell all of the shares in the public offering. Subject to customary closing conditions, the offering is scheduled to conclude on or about June 18.

So far, the US Securities and Exchange Commission has received and approved a registration statement on Form S-3 relating to these securities. Only a prospectus and prospectus supplement that is part of the registration statement are used to make this offering. The preliminary prospectus supplement including the accompanying prospectus for the offering was filed with the SEC. It is available on its website at The final prospectus supplement will be filed with the SEC and be available on its website at

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