09:27 AM EST, 01/08/2025 (MT Newswires) -- DatChat ( DATS ) was sinking 58% during Wednesday pre-trade, erasing a large slice of a more than 355% gain the prior session, after the social media company said it priced a direct offering of 1.2 million shares of its common stock at $4.25 apiece, generating around $5.1 million in gross proceeds.

After first deducting paying offering costs payable by the company, DatChat ( DATS ) is expecting to use the net proceeds for working capital and general corporate expenses, it said.