FGI Industries Ltd. (FGI) gained significantly in the current market after the company announced its initial public offering or IPO on January 27, 2022. FGI is trading at around $5.95 in the current market. It is again of approximately more than 57.82%. The stock closed at $3.77 in the previous trading session. The stock volume traded in the last trading session is around 1.95 million shares.
FGI is roaring after IPO
In a press release, FGI Industries announced that it had closed its initial public offering of 2,500,000 units On January 27, 2022. Each comprises one common stock, $0.0001 par value, and one warrant, exercisable at $6.00 per share.
The Warrants are effective instantly and for five years following issue. These were issued individually in the offering and could exchange immediately. The underwriters purchased all of their additional Warrants. According to the Company, after deducting expected underwriting discounts and commissions and projected offering expenses, the net proceeds from the IPO will be $12.5 million. Under the IPO, FGI granted the underwriters’ agent a warrant to purchase 50,000 shares.
On January 25, 2022, an underwriter agreement between FGI Industries and The Benchmark Company, LLC, acting underwriter representative. A warrant agreement was signed between FGI Industries and Continental Stock Transfer & Trust Company on January 27, 2022.
Effect on its stock
The stock of FGI gained in the pre-market today with a market cap of nearly around 36.8 million USD. Pre-market is a volatile trading session, and the price usually increases when the regular trading session starts. Investors are responding positively to the new company listed on NASDAQ.
Conclusion
The company has entered 2022 with a solid bang. The company is yet to announce its fourth quarter and fiscal year results of 2021. If they maintained to keep the previous quarter’s growth rate, then their stock could increase depending on the situation.
