Helios and Matheson Analytics Inc. (NASDAQ: HMNY) saw its shares pull back massively on Thursday after the firm issued an update. The company will be conducting a secondary offering to raise funds. Although stocks are expected to pull back on the announcement of a secondary, this move is absolutely ridiculous.
Canaccord Genuity is acting as the sole bookrunner and underwriter for this offering.
The company has yet to release the terms for the offering or what is even valued.
Helios may use the net proceeds from this offering to increase the firm’s ownership stake in MoviePass or to support the operations of MoviePass and MoviePass Ventures.
This may also be to satisfy a portion or all of any amounts payable in connection with previously issued convertible notes, as well as for general corporate purposes and transaction expenses. The firm also may use the proceeds to make other acquisitions.
Excluding Thursday’s move, Helios had outperformed the broad markets with its stock up 46% in the past 52 weeks. However in 2018 alone, the stock was down 39%.
Shares of Helios and Matheson Analytics were last seen down over 41% at $2.24. The stock has a $15.50 consensus analyst price target and a 52-week trading range of $2.12 to $38.86.
24/7 Wall St.Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
