Canopy Growth Stock Plunges In Pre-Market On Trying To Raise Up To $50M To Strengthen Finances
Portfolio Pulse from Nina Zdinjak
Canopy Growth Corporation (NASDAQ:CGC) is raising $50 million through a private placement offering of 22.93 million units at $1.09 per unit to strengthen its financial position. The investors also have an over-allotment option to acquire up to an additional 22.93 million units at the same price. The funds are expected to be used for working capital and other general corporate purposes. The news led to a 14.91% drop in Canopy's pre-market share price.
September 18, 2023 | 1:10 pm
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Canopy Growth Corporation is raising $50 million through a private placement offering, leading to a 14.91% drop in its pre-market share price.
The company's decision to raise funds through a private placement offering has led to a significant drop in its pre-market share price. This indicates that investors may be concerned about the company's financial position and its need to raise additional capital.
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