PyroGenesis Canada (TSX: PYR) has seemingly annoyed its shareholders this morning with the announcement of a private placement that has closed. The financing, referred to by the company as a “small non-brokered private placement,” was conducted at a small premium to market.
The financing in total raised gross proceeds of $1.3 million, via the sale of units at a price of $1.30 per each. Each unit contains one common share and one common share purchase warrant, which is valid until October 19, 2024 and contains an exercise price of $1.75 per share.
The financing reportedly closed on October 19, the day before which shares closes at $1.17 per each on public markets, with the company quick to highlight that the shares were sold higher than the recent closing price – while discounting the value of the two year warrant.
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Proceeds from the financing are to be used for working capital and general corporate purposes.
The financing follows heavy selling from CEO Peter Pascali over the course of the last month. Since October 1, Pascali has filed that he has sold a total of 355,900 shares, for gross proceeds of $490,674. The last sale was conducted October 14, with Pascali still holding 4.5 million shares via his trust. Humourously, Pascali announced last month that he has terminated his automatic securities deposition plan, which was to see the sale of up to 800,000 common shares from the trust.
PyroGenesis last traded at $1.08 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations 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.
