Why Did FAMI Stock Crash 78% Today?

Farmmi announced an underwritten public offering to raise around $3 million at $0.25 per share.

• The offer represents a 79% discount to the stock’s closing price on Friday.
• Farmmi plans to use the net proceeds, along with its existing cash, for general corporate purposes and working capital.
• According to Koyfin data, the number of shares offered is 86.5% of the company’s total outstanding shares.

Shares of Farmmi Inc. (FAMI) crashed nearly 78% on Monday, hitting an all-time low, after the company priced a $3 million offering at a massive 79% discount to its closing price on Friday.

FAMI stock also clocked its biggest ever single-day slump.

FAMI To Offer 86.5% Of Total Outstanding Shares

Farmmi announced an underwritten public offering to raise around $3 million in gross proceeds. The offering consists of 12 million Class A ordinary shares and pre-funded warrants priced at $0.25 per share. The transaction is expected to close on or about June 30.

According to Koyfin data, the number of shares offered is 86.5% of the company’s total outstanding shares, which total 13.87 million.

Farmmi said it plans to use the net proceeds, along with its existing cash, for general corporate purposes and working capital. The company also granted underwriter Aegis Capital Corp. a 45-day option to purchase up to an additional 15% of the shares sold in the offering to cover any over-allotments.

Meanwhile, for the fiscal year ended Sept. 30, 2025, revenue fell more than 56% to $28 million, while its net loss widened sharply to $53.4 million from $4.6 million a year earlier. The company also ended the year with $0.8 million in cash and cash equivalents.

Retail’s Take On FAMI

Retail sentiment surrounding FAMI on Stocktwits trended in the ‘bullish’ zone over the past 24 hours, amid ‘high’ message volumes.

The stock has shed around 79% of its value so far this year.

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