Valens Company Inc (OTCMKTS:VLNCF) stock is taking a hit on Wednesday and moved to the session low. After moving higher earlier this year, the stock has witnessed selling pressure over the past few weeks and lost almost 25% since April.
The Valens Company Announces CDN$40 Million Bought Deal Offering of Units
- announce that it has entered into an agreement with Stifel Nicolaus Canada Inc. (“Stifel GMP” or the “Lead Underwriter”) on behalf of a syndicate of underwriters (together with the Lead Underwriter, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a “bought deal” basis 12,122,000 units (the “Units”) of the Company at a price of $3.30 per Unit (the “Issue Price”), for aggregate gross proceeds of $40,002,600 (the “Offering”).
- Each Unit will be comprised of one common share in the capital of the Company (a “Common Share”) and one-half of one Common Share purchase warrant (each whole Common Share purchase warrant, a “Warrant”).
- Each Warrant will be exercisable to acquire one Common Share (a “Warrant Share”) for a period of 36 months following the closing of the Offering (the “Closing”) at an exercise price of $4.15 per Warrant Share, subject to adjustment and acceleration in certain events.
- In the event that the volume weighted average trading price of the Common Shares for ten (10) consecutive trading days exceeds $8.25, the Company may, within 10 business days of the occurrence of such event, deliver a notice (including a press release) to the holders of Warrants accelerating the expiry date of the Warrants to the date that is 30 days following the date of such notice.
As of 11:15, VLNCF stock fell 16% to $2.53. So far more than 47K shares have traded hands, well above its average volume of 306K shares. The stock opened at $2.755 and moved within a narrow range of $ 2.5130 – 2.7700.
|+/- EMA(20)||2.82 (-10.28%)|
|+/- SMA(50)||2.46 (+2.85%)|
|+/- SMA(200)||1.72 (+47.09%)|