You might have noticed that the despite a key announcement from TrustBIX Inc (OTCMKTS:TBIXF) on Wednesday, the company’s stock did not actually get any action and continued to trade within a range. In this situation, it may be a good time for investors to take a closer look at the announcement from the company with regards to its private placement.
Market Action
On Wednesday, TBIXF stock ended flat at $0.10 with 14K shares, compared to its average volume of 1.2k shares. The stock has moved within a range of $0.1000 – 0.1000 after opening trade at $0.11.
Announces Private Placement
TrustBIX announced yesterday that once the necessary regulatory approvals come through it is going to go for a non-brokered private placement of its common shares. The company noted that it would offer as many as 6250,000 common shares in TrustBIX in the private placement.
The shares are going to be offered at a price of $0.16 each so as to generate gross proceeds to the tune of as much as $1,000,000. In this context, it should be noted that the company had earlier completed a private placement of 2,500,000 common shares not too long ago and managed to generate gross proceeds of as much as $400,000.
The company announced yesterday that it was going to use the funds generated through the private placement for general corporate expenses and also for working capital needs.
Key Quote
“TrustBIX will use the Private Placement funds for working capital and general corporate purposes,” said Hubert Lau, CEO. “This financing provides us with resources to continue developing our software platforms and growing our business globally.”
 Stock Continues to Trade in a Narrow Range){kind=link}