DSS stock price drops over 40% before market launch: why it happened
- Document Security Systems, Inc. (NYSEAMERICAN: DSS) stock price has fallen more than 40% before market. That’s why it happened.
The share price Document Security Systems, Inc. (NYSEAMERICAN: DSS) – a multinational corporation with a focus on brand protection technology, blockchain security, direct marketing, healthcare, Consumer packaging, real estate, renewables, and securitized digital assets – fell more than 40% pre-market. Investors react negatively to Document Security Systems announcing the price of a subscribed public offering which is expected to gross proceeds to the company of approximately $ 43.5 million, before the deduction of underwriting discounts and commissions and other offering costs estimated to pay.
The public offering is equivalent to 29 million common shares of the company at a price of $ 1.50 per share. And the company plans to use the net proceeds of this offering, along with its existing liquidity, to finance the development and growth of new lines of business, acquisition opportunities, and general business and fund needs. bearing. The price of $ 1.50 per share is a decrease of 49.5% from the previous close of the share price.
Document Security Systems also granted the underwriters a 45-day option to purchase up to an additional 15% of common shares offered under the public offering to cover over-allotments (if any), which would increase the proceeds. Total gross of the offer to approximately $ 50 million if exercised in full.
Aegis Capital Corp. acts as the sole bookrunner of the offer.
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