Shares of Camping World Holdings Inc. (NYSE: CWH) plunged over 8% in pre-market trading on Wednesday, October 31st, extending losses from the previous day's sharp decline. The pre-market plunge followed the company's announcement of a proposed $300 million share offering and disappointing third-quarter earnings results.

On Tuesday, Camping World revealed plans to sell $300 million worth of its Class A common stock, with an option for underwriters to purchase an additional $45 million. The company stated that the proceeds from the offering would be used to purchase common units from its subsidiary, CWGS Enterprises, LLC, for general corporate purposes, including strengthening the balance sheet, working capital for growth, and debt pay down.

However, the share offering announcement raised concerns about potential dilution for existing shareholders, as the introduction of new shares could reduce their ownership stake and earnings per share. This uncertainty, coupled with Camping World's disappointing third-quarter earnings, weighed heavily on investor sentiment, leading to a 5.41% decline in the stock price on Tuesday.