Shares of once-hot Vietnamese electric-vehicle maker VinFast are down about 5% Tuesday, a day after they tumbled 22% and dropped below their listing price.
VinFast now trades at about $9.30, down from a peak above $80 hit in late August after heavy withdrawals by investors in the company’s SPAC deal left very few shares available for trading. That meant a tiny amount of buying pushed up the stock, giving the illusion that Wall Street had high hopes for the company.
The recent slide came after the company said in a Monday filing that insiders will sell some of their shares moving forward, increasing the supply of stock in what has been a supply-constrained market. Such sales are a normal part of SPAC deals but can lead to big swings in shares of companies like VinFast that have few shares available to trade.
