CHAI Core AI Holdings, Inc.

BEARISH Impact: 6/10 424B5
Horizon immediate Filed Jun 11, 2026 Processed 3d 18h ago SEC 0001493152-26-028232
Notable filing: 424B5

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Executive Summary

Core AI Holdings (CHAI) is raising approximately $5.0 million in net proceeds through a registered direct offering of 1,969,444 common shares and 3,975,000 pre-funded warrants at $0.90/share — a ~52% discount to the $1.86 closing price just one day prior. The offering will increase the diluted share count by ~30% (from 19.9M to 25.9M shares if all pre-funded warrants are exercised), causing immediate and substantial dilution of $0.5893 per share for new investors. Proceeds are earmarked for AI technology/infrastructure initiatives and working capital, but the deep discount and severe dilution signal acute capital need and financial distress.

Actionable Insight

Expect significant downward price pressure as the market absorbs a ~52% discounted offering just one day after pricing. The massive dilution and deep discount signal acute capital needs, likely from a company burning cash with little revenue visibility. Monitor for additional dilution risk from the $250M shelf and the potential for further distressed financing rounds. Short-term traders should avoid catching a falling knife; the stock could reprice closer to the offering level or below.

Key Facts

  • Public offering price of $0.90/share represents a ~52% discount to the June 9, 2026 closing price of $1.86/share
  • Gross proceeds of ~$5.35M; net proceeds of ~$4.98M after placement agent fees of 7.0%
  • Offering consists of 1,969,444 common shares and 3,975,000 pre-funded warrants exercisable at $0.00001/share with no expiration
  • Total diluted share count will increase from 19,922,402 to 25,866,846 shares (if all pre-funded warrants exercised) — ~30% dilution
  • Immediate dilution of $0.5893 per share for investors in this offering (offering price of $0.90 vs. pro forma adjusted net tangible book value of $0.3107)
  • Net tangible book value as of Dec 31, 2025 was $3.1M ($0.1557/share); pro forma adjusted to ~$8.0M ($0.3107/share)
  • Placement agent is D. Boral Capital LLC; offering expected to close on or about June 11, 2026
  • Market cap of $27M with 0% analyst bullish rating (0 Strong Buy/Buy, 3 Hold, 3 Sell/Strong Sell)

Financial Impact

~52% discount to prior close, ~30% dilution of outstanding shares, ~$5.0M net proceeds raised

dilutionshare countnet tangible book value

Risk Factors

  • Massive immediate dilution of ~30% to share count from this offering alone
  • Additional overhang risk from the $250M universal shelf registration
  • Potential further capital raises needed given low cash and $27M market cap
  • Very low analyst/consensus bullish sentiment (0%) — stock has no institutional buy-side support

Market Snapshot

Exchange
Nasdaq
Sector
Radiotelephone Communications
Analyst Consensus
0% bullish (6 analysts)

Documents Analyzed

This report is based on 4 SEC documents filed with EDGAR.

DocumentAccession Number
424B5 Filing (Primary)0001493152-26-028232
Document: 0001493152-26-028232-index-headers.html0001493152-26-028232
Document: 0001493152-26-028232-index.html0001493152-26-028232
Document: 0001493152-26-028232.txt0001493152-26-028232
6 reports for CHAI
Performance horizon

Track record builds as more directional reports settle.

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Reports for CHAI — sortable, filterable
Type Now
Jun 11, 2026
3d ago
424B5
BEARISH ★ 6/10
$1.30 awaiting T+5awaiting T+5$1.32 (−1.54%)
May 18, 2026
27d ago
6-K
MIXED ★ 5/10
$1.17 $1.11▼ −5.13%▼ −6.75%$1.32 (+12.82%)
May 18, 2026
27d ago
Press Release
BEARISH ★ 6/10
$1.17 $1.11▲ +5.13%▲ +6.75%$1.32 (−12.82%)
May 5, 2026
5w ago
6-K
NEUTRAL ★ 3/10
$1.51 $1.20▼ −20.53%▼ −22.51%$1.32 (−12.58%)
May 5, 2026
5w ago
Press Release
NEUTRAL ★ 3/10
$1.51 $1.19▼ −21.19%▼ −23.18%$1.32 (−12.58%)
Apr 14, 2026
8w ago
6-K
BULLISH ★ 7/10
$1.11 $1.04▼ −6.31%▼ −7.70%$1.32 (+18.92%)
Showing 6 of 6

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