PSYC Corporation (OTCMKTS:PSYC) has announced on March 29, 2022 that it has managed to secure $350,000 in equity-based financing. The company is actively involved in medicinal psychedelics, and the brains behind Psychedelic Spotlight, a top ranking psychedelic news and information platform.
Market Action
On Tuesday, PSYC stock moved up 15% to $0.0046 with 2.15 million shares, compared to its average volume of 960k shares. The stock moved within a range of $0.0039 – 0.0049 after opening trade at $0.0043.
The investment was completed by Trent Sullivan of Jackson, Tennessee – he is a private, accredited investor. PSYC CEO, David Flores, wholeheartedly thanks Mr. Sullivan for his faith in the company. He further states that they now intend to focus on the audit of their 2021 financials, expansion of monetization strategies related to Psychedelic Spotlight, and exploring diversification opportunities for Spotlight Media Corp.
PSYC CFO, Craig Schlesinger, commented that securing equity financing despite present market conditions sends a strong message to the psychedelics community – they are here to stay! Even though the road ahead is long and full of hurdles, they are thrilled to enter this new phase of equity financing to bolster performing assets, while developing and diversifying the company portfolio in the psychedelic and digital media sectors.
As per the terms of the investment, a total of 17,500,000 shares of PSYC common stock were sold at a price of $0.02 per share and include warrant options for the right to purchase up to an additional 20M shares over the next 12 months.
Key Quote
“We are incredibly grateful to Mr. Sullivan for the resounding faith he is demonstrating in the future of PSYC by way of this investment,” said PSYC CEO, David Flores. “Much of the intent here is to leverage the use of this financing to aid in the advancement of certain initiatives, such as commencing with the audit of our 2021 financials, expanding our monetization strategies related to Psychedelic Spotlight, and continuing to explore diversification opportunities for Spotlight Media Corp. We also believe this should be viewed as a very important strategic shift for the Company to a more equity-based capital structure, particularly as we begin to ramp things up with our corporate development efforts. Our success in securing this investment reinforces our commitment to PSYC’s long-term vision and strategy, on which we continue to execute, for the benefit of our shareholders.”
Traders Note
PSYC stock is trading below the 20-Day and 50-Day Moving averages of $0.0050 and $0.0058 respectively. Moreover, the stock is trading is the neutral zone with RSI stands at 44.
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