Fobi AI Inc (OTCMKTS:FOBIF) Stock Surges After Debt Settlement

The artificial intelligence and data intelligence industries are growing at a remarkable rate and one of the companies which could be worth tracking in this particular space is Fobi AI Inc (OTCMKTS:FOBIF). The company’s stock was in prime focus yesterday and ended up with gains of as much as 26% amidst heavy interest.

Trading Data

On Wednesday, FOBIF stock surged 21.61% to $0.2645 with more than 27.77K shares, compared to its average volume of 40.36K shares. The stock moved within a range of $0.2558 – 0.2710 after opening trade at $0.2569.

Fobi Announces Shares for Debt Settlement

The rally in the stock came about after the company announced that it had gone into shares for debt arrangements with a number of arm’s length service providers. Through these arrangements the company managed to settle as much as C$328615.29 worth of outstanding debt and severance. In exchange, Fobi issued a total of 912820 common shares for the price of $0.36 each.

It should however be noted that the debt settlement is going to be subject to approval from the TSX Venture Exchange. The company also revealed that there was not going to be any commissions or finder’s fee that it would have to pay out in connection with the debt settlement transactions. Fobi also revealed that it had decided to settle these debts through the issuance of new shares in order to preserve the cash that it had at its disposal and also to strengthen the balance sheet.