Circle (CRCL), the company behind the USDC stablecoin, revealed plans on Tuesday to conduct a secondary stock sale totaling 10 million shares. According to a filing with the U.S. Securities and Exchange Commission (SEC), 2 million Class A common shares will be offered for sale by the company, while existing stockholders plan to sell an additional 8 million shares. The underwriter also holds a greenshoe option to sell up to 1.5 million more shares.
Following the announcement, Circle’s stock fell 6% in after-hours trading, settling at $154 per share. This marks a nearly 50% drop from the stock’s record high of $299 but still reflects a roughly fivefold increase from its initial public offering price of $31.
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Secondary offering follows strong debut
The share sale comes approximately two months after Circle’s successful debut on the New York Stock Exchange, which saw a surge in the stock price fueled by investor enthusiasm for the expanding stablecoin sector. Despite the recent decline, Circle remains one of the top publicly traded firms tied to the digital dollar market, with USDC playing a central role in crypto finance.