TRCH - Why Torchlight Energy Stock Tanked 18% at the Open Today
Shares of exploration and production company Torchlight Energy (NASDAQ: TRCH) fell a quick 18% when trading opened on April 16. The big news was an after-the-close update on April 15 discussing the U.S. energy company's complex merger agreement with Canada's Metameterial (OTC: MMAT.F) .
The deal between Torchlight and Metamaterial isn't your typical merger. It is, effectively, a way for Metamaterial to get a U.S. listing without having to go through an initial public offering . Indeed, as the company's name implies, it does not drill for oil and gas, but operates in the materials space. Following the merger it will be looking to jettison Torchlight's energy assets.
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Why Torchlight Energy Stock Tanked 18% at the Open Today