Overpriced At 8.5 cents that NXO shares are currently trading, they are way overpriced.
The upcoming Private Placement is for 5.6 cents, and it comes with a 2-year warrant. Why would anyone pay more than that is a mystery. A rough estimate shows the warrant alone is worth at least 3 cents per share. So, with the PP an investor can get a share plus the warrant for only 5.6 cents, yet retail is currently paying 8-9 cents for just the shares alone. Amazing.
This of course creates a nice arbitrage opportunity for insiders (with their millions of shares they gifted themselves) and for large investors. They can simply subscribe to the PP, sell equal number of shares on the open market at these premium prices, pocket the 50% difference in price, get a free warrant, and end with same number of shares they started with. Easy risk-fee profit. This is how the big boys make money off the stupidity of retail. See the value of pumping and promotion?