TMC - TMC surges after pricing $27M offering of shares warrants

2023-08-14 09:27:41 ET

TMC the metals company ( NASDAQ: TMC ) +25.4% pre-market Monday after saying it entered into an agreement with certain investors for the purchase of more than 13.46M shares and accompanying class A warrants to buy as much as 6.73M shares in a registered direct offering .

Each share and the accompanying class A warrant to buy 0.5 shares are being sold at a price of $2.00, an 82% premium to TMC's ( TMC ) closing price on August 11; the class A warrants have an initial exercise price of $3.00/share, are exercisable immediately upon issuance and will expire at year-end 2027.

ERAS Capital, the family fund of company director and shareholder Andrei Karkar agreed to purchase 5M common shares and accompanying Class A warrants to purchase 2.5M common shares for a combined $10M purchase price.

TMC ( TMC ) said it expects $27M in proceeds from the offering, which it plans to use for working capital and general corporate purposes.

The company also reported a Q2 net loss of $14.1M, or $0.05/share, compared to net loss of $12.4M, or $0.05/share, in the same quarter a year ago.

More on TMC the metals company:

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• Stock price return: Up 52% YTD, up 14.5% in the past 12 months

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