Why Contango (CTGO) Shares Are Getting Hammered
Portfolio Pulse from Henry Khederian
Contango ORE Inc (NASDAQ:CTGO) shares dropped by 21% to $19.66 after announcing the pricing of its public offering of 731,750 units at $20.50 per unit. The offering aims to raise $15 million for general corporate purposes and exploration projects. Shares have lost 35.5% year to date.
June 11, 2024 | 5:55 pm
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Contango ORE Inc (NASDAQ:CTGO) shares fell by 21% to $19.66 following the announcement of a public offering priced at $20.50 per unit. The offering aims to raise $15 million for corporate purposes and exploration projects.
The significant drop in share price is directly linked to the announcement of the public offering, which is priced below the current market price. This dilution effect and the need for additional capital have negatively impacted investor sentiment.
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