Cannabis Fintech Co. Seeks TSXV Listing As POSaBIT CEO Highlights Potential Benefits
Portfolio Pulse from Jelena Martinovic
POSaBIT Systems Corporation, operating in the cannabis fintech sector, has applied for listing on the TSX Venture Exchange. CEO Ryan Hamlin views this as a step to increase investor exposure and improve trading liquidity. The company also plans a non-brokered private placement to raise CA$870,000 to repay convertible promissory notes. Perga Capital Partners LP has committed to purchasing a significant portion of the units offered and agreed to cancel previously issued warrants. POSaBIT's shares (OTC:POSAF) fell 4.7619% to $0.2 after the announcement.
December 22, 2023 | 5:06 pm
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POSaBIT's application for TSXV listing and private placement to repay notes could attract investors, but shares dropped 4.7619% to $0.2, indicating market uncertainty.
The application for TSXV listing could be a positive move for POSaBIT in the long term by increasing exposure to investors. However, the immediate market reaction to the news and the private placement announcement was negative, with a 4.7619% drop in share price. This suggests short-term investor concern, possibly due to the dilution of shares or the financial need to repay convertible notes. The involvement of Perga Capital Partners LP could be seen as a vote of confidence, but the short-term impact remains negative.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 100