Pagaya Technologies Ltd (NASDAQ:PGY), a global technology company delivering artificial intelligence infrastructure for the financial ecosystem, stock fell 9.96% (As on August 17, 11:19:22 AM UTC-4, Source: Google Finance) after the company in the second quarter of FY 22 has reported the Net loss attributable to Pagaya shareholders of $146.3 million, impacted by share-based compensation of $146.0 million. Adjusted net income is of $3.5 million. Network Volume increased 79% to $1.9 billion, reflecting strong growth from existing partnerships across all products. Total revenue and other income increased 83% to $181.5 million, primarily due to increased fee revenue from Network Volume growth. Adjusted EBITDA of $4.9 million, reflecting ongoing investments in the long-term growth and scalability of the business.

For fiscal 2022, Network Volume is expected to range between $7.2 billion and $7.8 billion, Total Revenue is expected to range between $700 million and $725 million and adjusted EBITDA is expected to range between negative $20 million and positive $10 million

Meanwhile, Pagaya merged with and went public through a special purpose acquisition company (SPAC), a deal completed in June. After the company’s registration statement later that month, shares of Pagaya flew higher after investors learned that the company had an extremely small public float. Data that was updated at the end of July showed the float only consisted of about 309,000 shares. When many SPACs announce the company they are planning to acquire, investors have the opportunity to redeem their shares if they are not happy with aspects of the deal, which can shrink the float. Then shares held by company employees and the SPAC sponsors have certain restrictions before they can be sold. Pagaya is now trading around a $15 billion market cap.

Additionally, the Business combination with EJF Acquisition Corp. closed on June 22, 2022, with an upsized PIPE investment of $350 million; Class A ordinary shares and public warrants began trading on Nasdaq on June 23, 2022 under the symbols “PGY” and “PGYWW,” respectively. The company has raised approximately $1.8 billion in investor capital into financing vehicles, across new ABS issuances and privately managed funds. The company has onboarded large U.S. bank with over $100 billion in assets as a major partner in auto. In addition, on July 1, 2022, former Barclays Bank UK CEO, Ashok Vaswani, joined Pagaya as President, bringing 30+ years of financial services experience to help take the Company into its next chapter of growth.