MicroAlgo (NASDAQ: MLGO) stock surged over 450% in regular trading on Monday, following the announcement of a $20 million stock offering.
The tech company plans to issue new shares at $0.80 each as part of a conversion request from creditors under a $20 million convertible bond purchase agreement signed on October 7, 2024. This move is aimed at fulfilling debt repayment obligations outlined in the agreement.
Under the terms, the bonds can be converted into common shares at 70% of the lowest closing market price recorded in the 60 trading days before the conversion request.
These convertible bonds have a 360-day maturity period, and the issuance of new shares at $0.8 is part of the risk disclosure filed with the U.S. Securities and Exchange Commission in Form 6-K on October 9, 2024.
Beyond its financial moves, MicroAlgo made waves last week by introducing an innovative solution: a multi-simulator collaborative algorithm based on subgraph isomorphism. This advancement aims to overcome the limitations of qubit numbers and leverage distributed computing to improve quantum computing performance.
MicroAlgo (NASDAQ: MLGO) stock has experienced remarkable growth over the past few months. After trading at $3.76 on January 1, 2025, MLGO stock has surged by 266.22%, reaching a current trading price of $13.77. The company now holds a market capitalization of $142.70 million.
