SoFi shares fell almost 6% in extended trading Thursday after the fintech company announced a $1.5 billion stock offering.
The company, which provides online loans and other banking services, said in a press release that it will use the proceeds for "general corporate purposes, including but not limited to enhancing capital position, increasing optionality and enabling further efficiency of capital management, and funding incremental growth and business opportunities."
The announced offering comes after SoFi's market cap almost doubled so far in 2025. The stock price is up more than sixfold since the end of 2022.
A company's share price often drops on a planned share sale as the offering dilutes the value of existing holders' stakes.
In its third-quarter earnings release in late October, SoFi reported revenue growth of 38% from a year earlier to $961.6 million, while net income more than doubled to $139.4 million. The company reported cash and equivalents of $3.25 billion.