Why Is Shineco (SISI) Stock Down 54% Today?

Group 1 - Shineco announced a public offering of 1,869,160 shares at a price of $1.07 each, with an additional option for underwriters to acquire 280,374 shares [1] - The company expects to raise$2 million in gross proceeds from this offering, managed by EF Hutton LLC [1] - Following the announcement, SISI stock fell by 53.8%, contrasting with a year-to-date increase of 76.7% prior to the market close on Thursday [2] Group 2 - The public offering dilutes the stakes of current investors, contributing to the decline in stock price [2] - The offering price of $1.07 is below the previous closing price of$2.12, which likely displeased traders [2]