Benzinga | Oct 5, 2021 02:37PM EDT

Why UpHealth Shares Are Tumbling Today

UpHealth Inc (NYSE:UPH) is trading lower Tuesday after the company announced the pricing of a $40.25 million public offering of common stock at a public offering price of $1.75 per share.

UpHealth said it plans to use the net proceeds from the offering for working capital and other general corporate purposes, including licenses acquisitions or other strategic growth activities. The company will also use proceeds to repay current obligations related to its business combination with GigCapital2 and Cloudbreak Health in June.

UpHealth is a global digital health company intent on creating a single, integrated platform of technologies and services essential to personalized, affordable, and effective care globally. It offers patient-centric digital health technologies and tech-enabled services to integrate care and improve performance across the healthcare industry.

UPH Price Action: UpHealth has traded as high as $10.05 over a 52-week period. It is making new 52-week lows during Tuesday's session.

The stock was down 35.80% at $1.67 at time of publication.