CloudMD Closes Oversubscribed $20.8 Million Financing
CloudMD Software & Services (TSXV: DOC) this morning closed its previously announced short form prospectus, which was conduced on a bought deal basis. The financing saw the company raise $20.8 million in what was an oversubscribed placement that saw the full over-allotment option exercised.
The financing, led by Canaccord Genuity and Beacon Securities, saw a total of 15,065,000 common shares of the issuer sold at a price of $1.38 per share, with no warrant being offered in the finance.. Aggregate gross proceeds of $20,789,700 were collected as a result. 1,054,550 broker warrants were issued in connection with the financing, valid for a period of two years while containing an exercise price of $1.38 per share.
Proceeds from the financing are said to be intended for strategic M&A activities, as well as general corporate purposes. Notably, M&A is said to be focused on both North American and global expansion plans, based on commentary provided on the closing of the financing by CEO Essam Hamza.
CloudMD Software & Services last traded at $2.05 on the TSX Venture.
Information for this briefing was found via Sedar and CloudMD Software & Services. The author has no securities related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
Full Disclosure: CloudMD Software & Services is a former client of Canacom Group.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
