Comstock Mining drops on equity raise to fund acquisition

Comstock

02/03/2021 12:11

** Comstock Mining  LODE.A  shares down ~13% premarket as co
raises equity
    ** Gold and silver miner announces direct offering of 4 mln
shares at $4 for $16 mln raise  urn:newsml:reuters.com:*:nGNX6RSkx6
    ** Offering price represents 24% discount to stock's last
sale
    ** LODE plans to use net offering proceeds to fund
previously announced LINICO Corp acquisition, investments in
Mercury Clean Up LLC, mineral acquisition and development
    ** On Feb 17, LODE's stock soared to as high as $9.85 before
finishing session up 157% at $5.79 after co bought majority
stake in lithium-ion battery recycling firm LINICO for
combination of $4.5 mln in cash and stock  urn:newsml:reuters.com:*:nL4N2KN2U8
    ** LODE has 80.79 mln shares outstanding and 73 mln of free
float, per Refinitiv data
    ** YTD, stock up 408%

 (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))