Why Is Intelligent Bio Solutions Stock Tumbling Today?
Portfolio Pulse from Adam Eckert
Intelligent Bio Solutions Inc (NASDAQ:INBS) shares dropped after announcing the exercise of Series E Warrants for $1.77 million in gross proceeds. The warrants, issued in a public offering in October 2023, have an exercise price of $2.9232 per share. The company plans to use the proceeds for working capital and general corporate purposes and will grant new warrants at $4.50 per share with a 5.5-year term. INBS shares were down 40% at $3.57 at the time of publication.
February 05, 2024 | 3:45 pm
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Intelligent Bio Solutions Inc shares fell after the exercise of Series E Warrants, aiming to raise $1.77 million for working capital and general purposes.
The exercise of warrants and subsequent issuance of new warrants at a higher price could dilute existing shareholders' equity, leading to the stock price drop. The significant decrease in share price reflects market concerns over dilution and the immediate impact of the warrant exercise.
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