American Future Fuel Corporation (OTC: AFFCF) Stock In Focus After Latest News
It is going to be interesting to see if the American Future Fuel Corporation’s (OTC: AFFCF) stock ends up receiving considerable attention from investors today or not, given yesterday’s announcement. The company announced yesterday that it had been successful in closing a brokered private placement.
The company issued as many as 12777777 units in its capital for the price of C$0.27 each and generated total gross proceeds of $3450000. It was also a reflection of the fact that the agent’s option had been exercised in its entirety. The agent and sole bookrunner for the offering was Red Cloud Securities Inc., which represented a consortium of agents that also included Canaccord Genuity Corp.
Each unit in the company was made up of one common share in American Future Fuel Corporation and one common share purchase warrant. It was further revealed that each warrant entitles its holder to the option of picking up a common share in the company for the price of C$0.42 at any time up until December 21, 2026.
In exchange for the services that they provided, the agents involved in the transaction were provided with a cash commission of $179,000. Additionally, they had also been provided with a total of 662963 compensation options. Each compensation option provided to the agents entitled the holder to pick up a common share in the company for the price of $0.27 per share up until December 21, 2026.
It was also noted that the warrant shares and the unit shares were going to be tradeable immediately as per the relevant securities laws in Canada. American Future Fuel Corporation also announced on Thursday that the net proceeds from the private placement would be used to further advance its Cabolleta Project. Additionally, it would also be deployed for general corporate and working capital purposes.
