EZGO Technologies Ltd (NASDAQ:EZGO) is one of the major stock losers in Thursday’s trading session.
EZGO Technologies Ltd. Announces Pricing of Upsized $12 Million Registered Direct Offering
- announced that it entered into securities purchase agreements with certain institutional investors in connection with a registered direct offering of an aggregate of 2,564,102 units of its securities (each, a “Unit”), with each Unit consisting of (i) one ordinary share of the Company, par value $0.001 per share, and
- (ii) one warrant to purchase 0.7 ordinary share (the “Warrants”), for aggregate gross proceeds of $12 million (which offering was upsized from the previously sized $10 million), before deducting the placement agent’s fees and other estimated offering expenses. The Warrants will be immediately exercisable after the date of issuance (the “Initial Exercise Date”) at an exercise price of $4.68 per share, subject to adjustments, and will expire two years after the Initial Exercise Date. The offering is expected to close on or about June 1, 2021, subject to the satisfaction of customary closing conditions.
- FT Global Capital, Inc. is acting as the exclusive placement agent in connection with the offering.
- The Company currently intends to use the net proceeds of the offering for working capital and general corporate purposes.
Market Action
As of 12:12, EZGO stock fell 17.80% to $4.62. The stock has traded 1.46 million shares, compared to its average volume of 188K shares. After opening at $4.78, the stock has moved within a wide range of $ 4.6000 – 4.9500.
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