Pop Culture Group Co., Ltd (NASDAQ:CPOP) experienced a surge of 42.25% in its stock value during after-hours trading on Wednesday. This comes after the company successfully completed a private placement, raising $30.5 million.
What Happened: Pop Culture Group, a China-based company focused on developing and hosting hip-hop and other entertainment events, completed a private placement on July 4, 2025. The company entered into subscription agreements with ten non-U.S. investors for the sale of 50 million Class A ordinary shares at $0.50 and 10 million Class B ordinary shares at $0.55. The transaction was finalized on July 8, 2025, generating gross proceeds of $30.5 million.
These newly issued shares are exempt from U.S. registration requirements as all subscribers certified that they are not “U.S. persons” under Rule 902(k) of Regulation S. The company has not disclosed a specific allocation for the proceeds, leaving management with sole discretion over their use. The company’s Form 6-K filing, apart from the capital raise, contains no financial statements, operational updates, or earnings data.
Why It Matters: The completion of the private placement has had an impact on Pop Culture’s stock value, with a 42.45% surge in after-hours trading. This development follows several other notable events for Pop Culture Group in 2025.
In February, the company’s shares rose after it closed the acquisition for the equity interest in Xiamen Hand In Hand Network Technology.
In May, the company’s stock increased following the release of an interim financial report showing an increase in overall operational performance.
Earlier this month, the company’s stock was among the 12 Communication Services Stocks Moving In Thursday’s Pre-Market Session.
Price Action: According to Benzinga Pro data, CPOP closed at 13.93% higher at 0.70 per share.
Benzinga Edge Stock Rankings highlights Pop Culture Group has a strong Values core of 88.86. Here is how the stock fares on other parameters.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: vectorfusionart on Shutterstock.com
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