Lion Electric Stock Drops After Hours: What's Happening?

Lion Electric Co LEV shares are trading lower in Monday's after-hours session after the company launched an overnight public offering.

What happened: Lion Electric announced that it would launch a public offering of units marketed in the United States and Canada. Each unit will consist of one common share and one common share purchase warrant.

Power Sustainable Capital Inc, through its subsidiary Power Energy Corporation, has indicated interest in purchasing units at the offering price, representing an aggregate purchase price approximately $25 million.

Lion Electric said it intends to use the net proceeds of the offering to strengthen its financial position. It will also allow the company to continue its growth strategy, including the company's capacity expansion plans in Illinois and Quebec.

Lion Electric is a manufacturer of medium and heavy-duty all-electric urban vehicles.

LEV Price Action: Lion Electric has a 52-week high of $10.48 and a 52-week low of $2.36.

The stock was down 12.0% after hours to $2.35 at the time of writing, according to Benzinga Pro.

Photo: Courtesy of Lion Electric.

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