Texxon Holding Limited (NPT), a leading provider of supply chain management services in the plastics and chemical industries in East China, saw its stock price plummet 7.33% in after-hours trading on Wednesday. This decline followed an already challenging regular trading session, where the stock had dropped 7.49% intraday, marking a tumultuous debut on the Nasdaq Capital Market.

The sharp decline comes on the heels of Texxon's initial public offering (IPO) announcement. The company priced its IPO at $5.00 per ordinary share, offering 1.9 million shares and raising $9.5 million before deducting underwriting discounts and other related expenses. Despite the successful listing, the market's reaction suggests investors may have been disappointed with the IPO pricing or harbored concerns about the company's valuation.

While Texxon plans to use the IPO proceeds for constructing a polystyrene manufacturing factory in Henan Province, updating its supply chain management platform, and bolstering working capital, the negative market sentiment poses challenges for the newly public company. As trading continues, investors will be closely watching how Texxon performs in its early days as a public entity and whether it can effectively utilize the IPO funds to drive growth and improve its market position in the competitive East China region.