Swarmer Inc (SWMR) shares are sliding in Wednesday's after-hours session after the company filed a prospectus registering up to three million shares of common stock for resale under a new equity purchase agreement.

Swarmer filed the prospectus covering the potential resale of those shares by Lucid Capital Markets under what the company calls the "Lucid Liquidity Line." Under the agreement, Swarmer can issue and sell up to three million shares to Lucid over time, establishing a liquidity line.

The company emphasized that it's not selling any securities under the prospectus and won't receive any proceeds from the sale of common stock by the selling stockholder. However, Swarmer could receive up to approximately $181 million in gross proceeds from Lucid under the purchase agreement in connection with potential sales of common stock.

Swarmer is a defense technology company focused on drone-swarm autonomy software. It went public in March and had about $23.5 million in total cash and cash equivalents as of March 31.

SWMR Price Action: Swarmer shares were down 11.52% in after-hours Wednesday, trading at $49.96 at the time of publication.