This is completely normal folks
Hey All - its a $10m financing at 1.10 with a half warrant at 1.75 for 2 years. Being done by Cantor and Paradigm. There will probably be a green shoe so we may see 11-12m done in total. The halt is not only standard it is probably mandated by iroc - it is material news and it is common for companies to halt the stock when announcing a financing. I would imagine they begin trading tomorrow morning as usual and probably the raise will be done either before the market opens or just after the open. I hear that it is mostly (if not all?) being subscribed by institutions and long term shareholders. Lets all remember that there is the Helm debt that needs to be repaid and there is a lot of front end engineering work that costs big bucks that needs to be undertaken. Ya - no one like a financing below the market...but we will still be under 200m shares and we will have all the cash we need to repay our debt and advance the engineering. I am going to go out on a limb (and i know that predictions are worth s&*t...) but I am guessing we trade down to 1.10 for a couple days max because of some nervous and angry retail and we spring right back to these levels by the end of next week latest. Who wants to be a Tims on that (I hear there is a new Dark Roast ;)
This is positive in my books....GLTA