CloudMD Announces $10M Bought Deal

This evening CloudMD Software & Services Inc. (CSE: DOC) announced a $10M bought deal with a syndicate of underwriters co-led by Canaccord and Beacon. The underwriters agreed to purchase 14.3M units at a price of C$0.70 per unit with a full warrant priced at $1.00.

The stock has been on a role for the last month reaching a 52 week high of 95c.

The company also states they intend to use the proceeds of the offering for potential M&A activities to support their strategic growth plans and general corporate purposes.

The units will be offered by way of a short form prospectus and expected to close on June 2nd. The company granted the underwriters an option to purchase up to an additional 2.1M units at a price of C$0.70 per unit, exercisable at any time, for a period of 30 days after and including the closing date, which would result in additional proceeds of approximately C$1.5 million.

For full details, read the official company press release here.

The stock was halted all day and last traded at 77c.

FULL DISCLOSURE: CloudMD Software & Services is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover CloudMD Software & Services on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

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