By Chris Wack
Cosmos Health shares experienced a significant decline of 22% to $1.94 following the announcement of securities purchase agreements with institutional investors. The agreements involve the purchase and sale of 2.1 million shares in a registered direct offering, as well as warrants to buy up to 1.9 million shares in a concurrent private placement.
Stock Performance and Offering Details Cosmos Health’s stock closed Wednesday’s session down 7% and has shown a striking decline of 81% over the past 12 months. In the registered direct offering, the combined purchase price for one share and one warrant is set at $2.48. Additionally, the warrants will have an exercise price of $2.75 per share and will be exercisable immediately, with an expiration date set for five years from the issuance date.
Participation and Proceeds The company has confirmed that Grigorios Siokas, Chief Executive of Cosmos Health Inc., along with existing shareholders, will participate in the offering. The anticipated proceeds from this offering, before deducting fees and other estimated expenses, will amount to approximately $5.25 million.
Utilization of Funds Cosmos Health intends to allocate the proceeds from the offering towards working capital and general corporate purposes. The closing of the offering is anticipated to take place on or about Friday.