On March 18, Neptune Wellness Solutions Inc. (NEPT) suffered from a huge sell-off during regular trading. With no recent news from the company, the stock plunged down to a new low of $0.2051 during the session. But the losses were recovered in the after-hours, as the stock rebounded to make some gains on the dip.
NEPT stock had been on a relatively mild-activity course for quite some time now. But on Friday, the stock witnessed some serious movement with a 31.63% loss in the regular session followed by a 31.64% gain in the after hours. NEPT closed the regular session at its 52-week low of $0.2051, giving way for a rebound effect in the after hours. Thus, investors jumped in to buy the dip and made the stock recover its losses in the after-hours session. Consequently, the stock was trading at $0.27 per share in the after-hours on Friday. While the volume remained mere 448.53K shares in the after-hours, the stock recovered well.
With no official news of SEC filing from the company, the stock’s recent movements seem to be a response to external factors. Therefore, social media chatter and stock sentiment could be held responsible over here.
With a market capitalization of $46.89 million, Neptune Wellness Solutions Inc. is a diversified health and wellness company.
NEPT’s Registered Direct Offering
On March 14, the company announced the closing of its previously declared registered offering for gross proceeds of US$8.0 million. The company had entered into the offering with a single strategic consumer-focused institutional investor for 18,500,000 common shares and 6,500,000 pre-funded warrants. Moreover, the common shares and pre-funded warrants were sold together with Series A Warrants and Series B Warrants for purchasing 25,000,000+25,000,000 common shares.
The company plans to use the net proceeds from the offering for working capital as well as general corporate purposes. Further on, the sole placement agent for the offering was A.G.P./Alliance Global Partners.
Fiscal Q3 2022 Results
On February 10, the company reported its financial results for the quarter that ended on December 31, 2021.
In fiscal Q3 2022, the company had revenue of CAD18.4 million compared to $3.3 million in the year-ago period.
Furthermore, the company incurred a net loss of $20.9 million in the quarter, against $74.9 million a year ago.
NEPT reported an adjusted EBITDA loss of $9.8 million in fiscal Q3 2022, with an improvement of 22% YOY.
