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Broadband provider Starry Group (NYSE:STRY), which announced earlier this week that it was considering a sale of the company, saw its stock rally 85% Wednesday morning after it released its Q3 earnings report.
Shares of Starry opened at $0.20, recently changing hands at $0.33 at approximately 10:50 a.m. ET.
Early Wednesday, Starry reported a widened Q3 loss on higher revenue, but declined to provide full-year 2022 guidance. The Boston-based company went public on March 29 through a merger with SPAC FirstMark Horizon. The stock reached an all-time high of $10.90 on June 3.
Starry’s stock tail-spinned on Oct. 21 after the company announced it was laying off half its workforce to slow its burn rate and would be looking for strategic alternatives for the company. Starry cited “extremely difficult” economic conditions for its woes.
The stock has traded below $1 since the announcement, hitting a new 52-week low of $0.17 on Tuesday.
On Oct. 31, Starry announced that it had hired PJT Partners to help it explore strategic options, including a possible sale of the company.
“To enable sufficient time for this process to take place, we proactively undertook significant cost-cutting measures last month to limit our expenditures and put the company in the best position to undergo this process,” said Starry CEO Chet Kanojia, in a statement on Wednesday.
