Why BioVie (BIVI) Stock Dropped 40% – BioVie (NASDAQ:BIVI)

BioVie Inc BIVI During Monday’s session the stock traded 42% lower at $1.09. The company announced the pricing of its public offering, consisting of 21 million shares of common stock (or pre-funded warrants) and warrants for up to 10.5 million shares, at a combined price of $1.00 per share (or pre-funded warrants pre-financed) and related mandate.

The warrants have an exercise price of $1.50 per share and will be exercisable for five years. The offering is expected to yield approximately $21 million in gross proceeds to the company, before accounting for placement agent commissions and offering expenses. The net proceeds will be used primarily for working capital and general corporate purposes.

The closing of the offer is scheduled for March 6, pending the usual closing conditions, with Think about fairness as the sole placer.

See also: JetBlue and Spirit Airlines scrap $3.8 billion merger deal

How to buy BIVI shares

At this point you’re probably curious about how to participate in the BioVie market, either by purchasing shares or by attempting to bet against the company.

Purchasing stocks is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to purchase “fractional shares,” which allow you to own portions of shares without purchasing an entire share. For example, some stocks, like Berkshire Hathaway or Amazon.com, can cost thousands of dollars to own just one. However, if you only want to invest a fraction of that sum, brokers will allow you to do so.

In the case of BioVie, which is trading at $1.08 at the time of publication, $100 would buy you 92.59 shares.

If you want to bet against a company, the process is more complex. You will need access to an options trading platform or a broker that will allow you to “go short” a share of stock by lending you the shares to sell. The process of short selling a stock can be found on this resource. Otherwise, if your broker allows you to trade options, you can buy a put option or sell a call option at a strike price higher than where the stock is currently trading – either way it allows you to profit from the drop of the share price.

According to data from Benzinga Pro, BIVI has a 52-week high of $11.39 and a 52-week low of $0.89.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *