Shares of Antelope Enterprise Holdings (Nasdaq: AEHL) fluctuated in early trading Friday after the company priced its $2.1 million registered direct offering.
The Chinese ceramic tiles maker said today that it has agreed to sell 588,236 registered common shares priced at $3.57 each to “three institutional investors.” The pricing represents about a 7% downside from Thursday’s close at $3.83.
Simultaneously in a private placement, for every common share purchased, an investor will get an unregistered warrant to purchase one common share from Antelope. The warrants, which carry an exercise price of $3.57 per share, will mature in five years from the exercise date.
The Jinjiang-based company intends on using the proceeds for general corporate and working capital purposes.
The lone placement agent on the deal is Dawson James Securities, Inc.
As of this morning, Antelope traded as high as $3.85 per share (up 0.52% from Thursday) but as low as $3.73 per share (down 3% from Thursday).
Meanwhile, in the past couple of weeks, Antelope has achieved solid stock market appreciation. Since Jan. 27, shares of Antelope have risen 59% to date, based on Friday’s trading high.
Formerly known as China Ceramics Co., Ltd., the company changed its name to Antelope in October 2020. The company sells its products under brands including "Hengda,” “Hengdeli,” "TOERTO," "WULIQIAO,” and “Pottery Capital of Tang Dynasty.”
In addition to making ceramic tiles, the company through its subsidiary Antelope Holdings (Chengdu), Co., Ltd. provides fintech solutions.
In the six months through June, Antelope’s revenues plummeted to $5.6 million, down from $26.2 million in the same period in the preceding year, as the coronavirus pandemic impacted demand on the company’s products.