NEW YORK ( TheStreet) -- Converted Organics ( COIN) shares fell hard Wednesday after the company announced a registered direct offering of 2.4 million shares of common stock. Converted Organics shares have rallied 61% in 2010, although the stock took an 8.6% hit after the company said it will issue 2.4 million shares to a single institutional investor for gross proceeds of approximately $2.54 million. Converted Organics also issued to the institutional investors five-year warrants to purchase an additional 1.16 million shares of common stock at an exercise price of $1.06 per share. Lately, Converted Organics shares were down 10 cents, or 8.6%, to $1.07. Share volume topped 4.54 million shares, more than tripling the 50-day average daily volume. Elsewhere, Two Harbors Investment ( TWO) slipped 1.5% to $8.85 after the company priced an offering of 11.5 million shares of common sock at $8.90 per share. Gross proceeds will total approximately $102.4 million, the company said. Two Harbors Investment had cancelled an offering of 14 million shares of common stock on April 16, having determined that the available share price "would result in an unacceptable dilution of book value to existing shareholders." Among other offerings, KMG Chemicals ( KMGB) said Chairman David Hatcher is offering 1 million shares priced at $17.50 per share. Hatcher is KMG's largest shareholder and will still continue to own more than 3.1 million shares in KMG after the offering. KMG shares dropped $1.80, or 9.1%, to $17.84 on nearly double the average daily volume. China Armco Metals ( CNAM) said it will sell approximately 1.53 million shares of common stock to institutional investors in a private placement at a price of $6.50 per share. The investors will also be given warrants to buy an additional 1.53 million shares of common stock with an exercise price of $7.50 per share. Kexuan Yao, China Armco's chairman and CEO, said the additional capital "will significantly enhance our ability to rapidly grow our businesses for the foreseeable future." Still, China Armco shares fell by 58 cents, or 8.4%, to $6.37. Xenonics Holdings ( XNN) slid by 3 cents, or 5.8%, to 48 cents after the company said it completed a registered offering of 1.1 million shares to institutional investors at a price of 50 cents per share. Xenonics also issued 1.1 million warrants to the investors to buy shares at an exercise price of 65 cents per share. Xenonics said it "does not anticipate the need for any additional financing," and that the net proceeds of the registered direct offering will be used to build inventory to satisfy the pending demand for the company's products. -- Written by Robert Holmes in Boston. Follow Robert Holmes on Twitter and become a fan of TheStreet.com on Facebook.