Toughbuilt tumbles on highly dilutive stock offering

Toughbuilt Industries

12/07/2021 13:54

** Toughbuilt Industries  TBLT.O  down nearly 30% premarket
after tool belts and tool bags maker raises equity
    ** TBLT the most actively traded stock before the bell with
volume of ~23 mln shares as of 0853 EDT
    ** Co sells ~46 mln shares and warrants to buy up to ~23 mln
shares to institutional investors in direct offering at $0.869,
raises $40 mln for working capital purposes  urn:newsml:reuters.com:*:nGNXbQjVzr
    ** 5-yr warrants immediately exercisable at exercise price
of $0.81/sh
    ** Co has ~81.6 mln shares outstanding as of May 16, per
Refinitiv data
    ** TBLT on Fri rose 46% to close at $1.05 after co said its
H1 2021 gross sales through Amazon.com  AMZN.O  increased 118%
~$5.48 mln from prior year  urn:newsml:reuters.com:*:nL3N2OL2I4

 (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))