(Sioux Falls, S.D.)– Shares of Brookings, South Dakota-based Verasun Energy sank to an all-time low today (Wednesday) after the ethanol maker began a public offering of 20 million shares and said it expects to post a third-quarter loss of atleast 63 million dollars.
Its stock lost more than two thirds of its value, plunging $3.46–or 66 percent–to $1.76 in midday trading.
Verasun shares have traded between $3.75 and $17.75 in the past year.
Verasun blames record-high corn prices.
Industry analyst Joseph Gomes Jr. says the stock offering suggests “ongoing liquidity difficulties” and may be difficult to complete given current market conditions.
Locally, Verasun owns and operates ethanol plants in Hartley and Welcome, Minnesota.
(Story from the Associated Press.).
