The S&P/ASX 200 Index (ASX: XJO) is on course to end the week in the red. In afternoon trade, the benchmark index is down 0.6% to 7,337.7 points.
Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:
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Afterpay Ltd (ASX: APT)
The Afterpay share price is down 4% to $96.07. This follows another poor night of trade for the Square share price. As Square is hoping to acquire Afterpay in an all-scrip deal, the value of the takeover falls when its shares decline. Unfortunately, the Square share price has fallen so much recently that its offer now represents a premium of less than a 1% to the Afterpay share price prior to the offer.
AVZ Minerals Ltd (ASX: AVZ)
The AVZ share price is down over 8% to 59 cents. This morning the lithium developer announced the completion of its institutional placement. AVZ has received firm commitments to raise $75 million (before costs) at a 22% discount of 50 cents per new share. These funds will be used to progress towards a Final Investment Decision (FID) for the commencement of project development at the Manono Lithium Project in the Democratic Republic of the Congo.
Irongate Group (ASX: IAP)
The Irongate share price is down 5% to $1.57. This decline has also been driven by a capital raising. This morning the real estate investment trust announced the completion of a $50 million institutional placement. These funds were raised at a 6.3% discount of $1.55 per new share. Management will use the proceeds to partly fund the acquisition of an office building located at 510 Church Street, Cremorne VIC.
Santos Ltd (ASX: STO)
The Santos share price is down 3% to $6.43. This is despite the energy producer announcing that its merger with Oil Search Ltd (ASX: OSH) has become effective today. Oil Search shareholders will receive 0.6275 new Santos shares for each Oil Search share held on the record date of 14 December 2021.
