The stock of Treasure Global Inc, a provider of innovative technology solutions, experienced a substantial downturn after the company disclosed the details of its underwritten public offering, amounting to $4.0 million. The stock, which had concluded Tuesday’s trading session at $0.20, saw a dramatic drop as it commenced trading on Wednesday morning at $0.11.
At the time of this publication, Treasure Global Inc stock (TGL) has witnessed a decline.
Treasure Global Inc
Current Price: $0.11
Change : -0.10
Change (%): (-46.26%)
Volume: 2.6M
Source: Tomorrow Events Market Data
Treasure Global’s announcement revealed the pricing specifics of its underwritten public offering, consisting of 26,014,000 shares of common stock with a par value of $0.00001 per share. The public offering price was set at $0.10 per share. Additionally, the company included 14,000,000 pre-funded warrants, each granting the right to purchase one share of common stock at a public offering price of $0.0999 per pre-funded warrant. The combined gross proceeds from this offering were estimated to be approximately $4.0 million, pending the deduction of underwriting discounts and other associated offering expenses.
To further enhance flexibility, Treasure Global granted the underwriters a 45-day option to acquire up to an additional 6,002,100 shares of common stock at the public offering price per share. Alternatively, they could opt for pre-funded warrants in lieu thereof at the public offering price per pre-funded warrant, less the underwriting discounts, to cover any potential over-allotments. The anticipated closing date for this offering is November 30, 2023, subject to the fulfillment of customary closing conditions.
EF Hutton, a division of Benchmark Investments, LLC, has been designated as the lead book-running manager for this offering.
The offering of shares, pre-funded warrants, and over-allotment option securities, if any, is being carried out by the company in accordance with a registration statement on Form S-1, as amended (File No. 333-275411). This registration statement was filed with the U.S. Securities and Exchange Commission (SEC) and was declared effective on November 13, 2023. The accompanying preliminary prospectus is contained within the registration statement. A final prospectus related to this offering will be submitted to the SEC for approval.
Investors and industry analysts are closely monitoring the unfolding situation as Treasure Global Inc navigates through this critical phase of its financial strategy. The market’s immediate response to the public offering has triggered a significant market reaction, and stakeholders are keenly observing the stock’s trajectory in the days to come. As the company moves towards the expected closing date, the impact of this financial maneuver will undoubtedly reverberate through the technology solutions sector.
