China Jo-Jo Drugstores Announces $2.59M Registered Direct Offering Of 9.96M Shares Of Stock At A Price Of $0.26/Share
Portfolio Pulse from Benzinga Newsdesk
China Jo-Jo Drugstores, Inc. (NASDAQ:CJJD) has announced a registered direct offering of 9.96 million ordinary shares at $0.26 per share, aiming to raise approximately $2.59 million. The company will also issue registered warrants for up to 19.92 million ordinary shares. The proceeds will be used for general corporate purposes and working capital. The sale is expected to close on September 28, 2023.
September 26, 2023 | 1:25 pm
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China Jo-Jo Drugstores is issuing 9.96 million shares at $0.26 per share to raise $2.59 million. The company will also issue warrants for up to 19.92 million shares. The proceeds will be used for general corporate purposes and working capital.
The news of the share issuance could have a neutral impact on the stock price in the short term. While the additional capital could strengthen the company's financial position, the dilution of shares could potentially put downward pressure on the stock price. However, the impact will depend on the market's perception of the company's use of the raised capital.
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