TEN Holdings raised about $2 million by selling new common shares to investors in a registered direct offering. The New York-based company, whose shares trade on Nasdaq under the symbol XHLD, priced the shares at the stock’s November 6 closing price.
- TEN Holdings sold 3,389,831 common shares at $0.59 each, for gross proceeds of approximately $2 million before offering expenses.
- The offering was made directly to investors under an existing registration statement. That registration statement allows the company to offer up to $100 million in various types of securities; the current share sale accounts for about $2 million of gross proceeds.
- The transaction adds common shares to the company’s capital structure. Existing shareholders’ ownership will be diluted, though the information provided does not include the share count needed to calculate the size of that dilution.
- The proceeds are equity financing, not borrowing: the announcement does not describe new debt or repayment obligations.
TEN Holdings also issued a press release about the transaction, but its contents were not included here.