Waton Financial Limited (NASDAQ: WTF), a British Virgin Islands-incorporated holding company providing securities brokerage and financial technology services, saw its shares plummet 6.32% in after-hours trading on Tuesday. This sharp decline followed the company's Nasdaq debut earlier in the day, which came after pricing its initial public offering (IPO) at $4.00 per share.

The company had announced the pricing of its IPO, offering an aggregate of 4,375,000 ordinary shares. The gross proceeds from the offering were expected to be approximately $17,500,000, before deducting underwriting discounts and commissions and other offering expenses. Waton Financial also granted the underwriters a 45-day option to purchase up to an additional 656,250 ordinary shares at the IPO price.

The significant after-hours drop suggests that investors may be reassessing the company's valuation following its market debut. This decline could be attributed to various factors, including profit-taking by early investors, concerns about the company's growth prospects, or broader market sentiment towards newly listed companies in the financial technology sector. As Waton Financial begins its journey as a public company, investors will be closely watching its performance in the coming days to gauge its long-term potential in the competitive fintech landscape.