AquaBounty dives on $57 mln equity raise

Aquabounty Technologies

10/12/2020 14:07

(Updates with pricing details)
    ** Shares of AquaBounty  AQB.O  down ~20% at $6.95 premarket
as grower of genetically engineered salmon prices follow-on
    ** Co sells 8.72 mln shares at $6.50, 25% discount to
stock's last close, raises ~$56.7 mln  urn:newsml:reuters.com:*:nGNX2MWdZl
    ** AQB plans to use net offering proceeds for working
capital costs and general corp purposes, including potentially
purchasing land and towards construction costs or site
development for a new production farm
    ** Oppenheimer and Lake Street Capital Markets jt
bookrunners for offering
    ** Deal size represents ~21% of co's free float, per
Refinitiv data
    ** Stock has doubled over past 8 trading sessions with no
apparent catalyst. And trading volumes have picked up
significantly as 5-DMA of ~9 mln shares is almost triple the
30-DMA

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com 1-332-219-1430))