DURHAM – Cree shares hit an all-time high of more than $129 a share on Thursday. But on the same day it issued plans for a $500 million stock sale. The result: Cree shares fell some 4% in after-hours trading.

“Based on Thursday’s record stock closing price of $128.28, the filing could represent up to 3.9 million shares, or about 3.5% of the shares outstanding.,” Marketwatch reported.

Cree (Nasdaq: CREE) shares have soared in recent months as it focuses its efforts on its Wolfspeed power subsidiary.

“We intend to use the net proceeds we receive from the issuance and sale by us of any shares of our common stock to or through the Managers for general corporate purposes,” Cree says in the prospectus. 

In his own words: CEO discloses why he’s changing Cree’s name to Wolfspeed