FOSL Stock Plunges After Extending Exchange Offer For Its Senior Notes Due 2026

Fossil Group (FOSL) shares were down nearly 39% in premarket trading on Thursday morning after the company said on Thursday that it has further extended the expiration of the exchange offer concerning its 7.00% Senior Notes due 2026.

The company also noted that it has extended the consent solicitation and its concurrent rights offering from October 15 to October 22.

Separately, the company stated that it is not currently pursuing an initial public offering of its subsidiary in India, following recent media reports about the subsidiary going public.

Retail sentiment on Fossil Group jumped to ‘extremely bullish’ from ‘bearish’ territory a day ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.

On Wednesday, Fossil Group’s shares had closed up 41.5% at a two-and-a-half-year high of $3.75 following the news of the IPO of its Indian unit. According to a Bloomberg News report, Fossil India was in talks to raise $300 million to $400 million by selling as much as a 25% stake.

The report noted that the talks were ongoing and that the size of the IPO or the possible timing of the offering could change. 

In early 2025, as part of a plan to save costs, the company planned to shut down around 50 retail locations and shift certain international markets to a distributor model. The firm is home to several premium brands such as Fossil Watches and Michele. 

Shares of Fossil Group have jumped 125% this year and gained nearly 213% in the last 12 months. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Also See: Alibaba Executive Reportedly Says Company Beginning To See Return On AI Investment In E-Commerce: Forecasts ‘Very Significant’ Positive Impact

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