RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Is there any Gap up tomorrow? US Mkt will open Hexo could not go to the bank....not unlike almost every LP they have no meaningful revenues that would support a conventional loan.
Hexo did not in the traditional sense need more shares for the NYSE AMERICAN uplisting. Hexo paid to get on this secondary equity sales market for two reasons....the most important was to raise additional $$$$ to fulfill their business plan .....running an ever expanding business takes large amounts of capital. As stated by company officials on numerous occasions, their “ hub and spoke” business plan will take time and money.
IMHO, this is just the first step into the equity market for the current “ shelf prospectus “ NR of 800M Canadian... I happen to agree with three need for that amount and more. To that end, as a shareholder, I would like to have more concrete information on the details as too how HEXO plans on spending it.
The second reason for the uplisting...simply for the exposure to the single, largest economy in the world and the next huge , soon to legalized MJ market.
That being said, this rather small dilution should not have a negative affect on the current nextleg up.
Looking forward to the balance of the weeks trading sessions.
Best of luck to all traders.