SoFi’s (SOFI) stock is down 7% in premarket trading on Dec. 5 after the financial technology (fintech) company announced a $1.5 billion U.S. share sale.
The San Francisco-based company, which provides online loans and other banking services, said that it will use the proceeds from the share sale for “general corporate purposes.”
A company’s share price typically falls on news of a planned stock sale as the offering dilutes the value of existing shareholders.
News of the stock sale comes after SoFi’s market capitalization almost doubled in 2025. The stock price is up more than sixfold in the last three years.
In its third-quarter financial results, SoFi reported revenue growth of 38% from a year earlier, while its net income more than doubled.
The company reported cash on hand of $3.25 billion U.S. at the end of September.
SOFI stock has more than doubled this year, rising 110% to trade at $29.60 U.S. per share.
