The company formerly known as Support.com got a new name and new ticker symbol between Tuesday’s closing bell and Wednesday’s open. Greenidge Generation Holdings Inc. (NASDAQ: GREE) opened for trading at $57.00 a share, and shares have been sliding since the stock hit $60 minutes after the opening bell.
At Tuesday’s close, the transaction that combined the two companies concluded with a reverse stock split of approximately one new share of Greenidge for every 8.5 shares of Support.com. The official exchange rate was 0.115 shares of new stock for each existing share of Support.com at the closing price of $11.80 per share. That would have valued a new Greenidge share at around $87. What happened to the other $30? It appears to have evaporated.
Judging by some comments on WallStreetBets subreddit, investors who had driven Support.com shares to a year-to-date gain of about 1,500% on August 30 were less than satisfied with the way the share exchange was accomplished. Several commenters have complained to the U.S. Securities and Exchange Commission already because they believe the merger between Greenidge and Support.com was rushed through before a short squeeze could play out.
Tuesday’s big gainer was a stock not associated with the meme stocks, but probably only because it’s only been publicly traded for about three weeks. IronNet Cybersecurity Inc. (NYSE: IRNT) saw its share price jump by about 20% on Tuesday, and the stock added even more on Wednesday. IronNet reported quarterly earnings on Tuesday that were not outstanding, except insofar as the company’s projections for a solid increase in subscription revenues this year. We looked at the company’s numbers in a bit more detail in our early movers report.
Electric vehicle truckmaker Workhorse Group Inc. (NASDAQ: WKHS) withdrew its protest against the U.S. Postal Service for rejecting the company’s bid to provide thousands of new electric delivery vans to the USPS. The decision was probably inevitable, but it caused some pain to investors who were long on the shares.
Meta Materials Inc. (NASDAQ: MMAT) hasn’t had any real news for more than two weeks. Since the merger with Torchlight Energy in late June, the stock is down about 43%. The combination of Torchlight Energy and Metamaterials to form this company may presage what we are going to see in the Support.com-Greenidge transaction.
Shares of Greenidge traded down about 19% in the noon hour Wednesday to $45.40. More than 5 million shares had traded on the stock’s first day of trading under the new ticker symbol.
IronNet was up nearly 28% to $29.82, in a post-IPO range of $9.36 to $32.71. The high was posted Wednesday, as 33.7 million shares have changed hands, compared to a daily average trading volume of around 1.5 million shares.
Workhorse shares traded down more than 4%, at $8.11 in a 52-week range of $7.07 to $42.96. About 4.9 million shares had traded on the day, roughly half the daily average of 10.7 million.
Meta Materials also traded down more than 4% to $4.93, in a 52-week range of $0.42 to $21.76. The average daily trading volume is about 30.6 million shares, and trading thus far was a relatively light at 9.3 million shares.