Energy Focus falls on deep-discounted stock-and-warrants deal

Energy Focus

14/12/2021 14:07

** Energy Focus Inc  EFOI.O  shares down ~20% premarket as
co raises equity
    ** Lighting tech co says sold ~1.3 mln shares privately to
certain institutional investors, and 5-yr warrants to buy up to
same amount, for gross raise of $4.5 mln  urn:newsml:reuters.com:*:nBwbV45lpa
    ** Deal prices at $3.52, 25% discount to stock's last close
    ** Stock has soared 145% over the past week on heavy
volumes, including 70% leap on Dec 8 and 36% jump on Dec 13
    ** EFOI has ~5 mln shares outstanding, per Refinitiv data
    ** Co plans to use net offering proceeds for general corp
purposes, and may use up to 50% to pay down debt
    ** H.C. Wainwright placement agent for the placement

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