HEXO Begins Yet Another Round of Fundraising

In the latest of a series of fundraising rounds, HEXO (NYSE: HEXO) announced Thursday it has reached agreement to issue new shares to investors. The issue, which was effected by a registered direct offering, should earn the company gross proceeds of $25 million (although HEXO, a cannabis company, is based in Canada, all quoted figures are in U.S. dollars).

Specifically, just over 14.97 million shares of HEXO's common stock are to be sold at $1.67 per share. Additionally, the company will issue warrants to the participating investors. All told, these warrants carry the right to purchase nearly 7.49 million shares of the company. The exercise price is $2.45 per share.

HEXO said it made its agreement with institutional investors. It did not get more specific.

Source Fool.com