Why Is GigCapital5 (GIA) Stock Down 61% Today?


  • GigCapital5 (GIA) stock is down Friday alongside plans for a merger.
  • The SPAC will combine with QT Imaging on Monday.
  • That will see it switch from the GIA stock ticker to the WTI one on Tuesday.
GIA Stock - Why Is GigCapital5 (GIA) Stock Down 61% Today?

Source: Dmitry Demidovich/ShutterStock.com

GigCapital5 (NASDAQ:GIA) stock is falling on Friday after the special purpose acquisition company (SPAC) revealed a date for its merger with QT Imaging.

GigCapital5 says that it will complete its SPAC merger with QT Imaging on Monday. That comes as investors gave their approval to the deal in late February. The company will change its name to QT Imaging once the deal is complete.

Following the business combination, shares of GIA stock will also undergo a change. That will see them start trading under the QTI stock ticker when markets open on Tuesday.

QT Imaging CEO Dr. John Klock said the following about the business combination news:

“The completion of our business combination with GigCapital5 and emergence as a publicly-traded company is a landmark achievement for QT Imaging, and one that we would not have reached without the hard work and focus of our dedicated employees and the support of our partner, GigCapital5.”

How This Affects GIA Stock

We’re seeing heavy trading for GigCapital5 as the company prepares for the business combination next week. That has more than 36,000 shares changing hands as of this writing. While that might not seem like much, the company’s daily average trading volume is only about 8,000 shares.

GIA stock is down 61.1% as of Friday morning.

Investors can find more of the most recent stock market stories ready to go below!

We have all of the hottest stock market news traders need to know about on Friday! A few examples include why shares of Minim (NASDAQ:MINM) and Nxu (NASDAQ:NXU) stock are up today and the biggest pre-market stock movers this morning. All of that info is available at the following links!

More Friday Stock Market News

With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that  InvestorPlace.com’s writers disclose this fact and warn readers of the risks. 

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Article printed from InvestorPlace Media, https://investorplace.com/2024/03/why-is-gigcapital5-gia-stock-down-61-today/.

©2024 InvestorPlace Media, LLC