Rare earths firm REalloys slides after unveiling stock offering following US defense contract win

REalloys

05/03/2026 22:32

** Rare earths co REalloys Inc's ALOY.O shares down 7.3% post-market to $20.10 as it seeks equity just days after receiving Pentagon funding

** Ohio-based ALOY announces proposed stock offering without disclosing deal size

** It intends to use net offering proceeds for working capital and general corporate purposes

** Co early Mon said it was awarded a U.S. Department of Defense contract worth up to $1.7 mln to fund design of a processing facility for metals used to make magnets for weapons and electronics

** ALOY, which began trading on Feb 25 on Nasdaq after merging with Blackboxstocks, required to develop engineering schematics for a modular version of the facility

** ALOY stock finished down 16.2% at $21.69 on Thurs

** Co has ~57.1 mln shares outstanding for $1.2 bln market cap, per the offering prospectus

** Clear Street lead bookrunner, joined by Needham as joint bookrunner for proposed offering

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))