Innovative Eyewear (NASDAQ: LUCY) stock plummeted during pre-market trading Wednesday after the company initiated a registered direct offering for common stock sale.
Innovative Eyewear (LUCY) has struck a definitive agreement to issue and sell 5,263,161 shares of its common stock at a purchase price of $0.475 per share in a registered direct offering priced at the market under Nasdaq rules.
The company has also agreed to a private placement alongside the direct offering. This private placement involves the issuance of unregistered warrants. These warrants grant the right to purchase up to 5,263,161 shares of common stock at an exercise price of $0.475 per share. Notably, the warrants are immediately exercisable upon issuance and hold an expiration period of five years from the date of issuance.
The offerings will close around May 29, 2024, subject to the fulfillment of standard closing conditions. H.C. Wainwright & Co. is the exclusive placement agent for this offering.
The company expects to raise approximately $2.5 million in gross proceeds from these transactions before accounting for the placement agent’s fees and other related offering expenses. The company aims to bolster its financial position and support ongoing operations and initiatives by using the net proceeds for working capital and general corporate purposes.
Innovative Eyewear (NASDAQ: LUCY) Stock Reaction
As of 08:53 a.m. (Eastern Time) Wednesday, LUCY stock traded at $0.3370, marking a 17.80% decrease compared to the previous trading session.
Salman Akhtar is a finance, stocks, and technology journalist with years of experience across various news organizations. He has contributed his expertise to outlets such as 24NewsHD, TrimFeed, The Voice Pakistan, and TheTechBasic. Salman is passionate about making complex topics accessible to a broad audience. His dedication to delivering accurate and timely information has established him as a trusted voice in the industry. Read Full Bio
