Blend Labs, Inc. (BLND) has disclosed a new risk, in the Share Price & Shareholder Rights category.
Blend Labs, Inc. faces a significant business risk as the voting power of Class A common stockholders is poised to diminish following the HSR approval, which grants Series A Preferred Stockholders voting rights on par with Class A holders. This shift not only reduces Class A shareholders’ influence but also introduces the potential for substantial dilution of their ownership stakes upon the conversion of Series A Preferred Stock or the exercise of the Warrant by Haveli. Such dilution, coupled with a likely increase in the publicly available shares of Class A common stock, could exert downward pressure on the market value of these shares, thereby posing a financial risk to existing investors.
The average BLND stock price target is $3.17, implying 14.03% upside potential.
To learn more about Blend Labs, Inc.’s risk factors, click here.
