LexaGene Holdings Inc. (OTCMKTS:LXXGF) (CVE:LXG) Stock Sees Pressure At Higher Level

LexaGene Holdings Inc. (OTCMKTS:LXXGF) (CVE:LXG) fell 5% last week after the company announced closing the second tranche of its previously disclosed private placement offering with Meridian LGH Holdings LLC of 5.38 million units issued at CD$0.35 per Unit for total proceeds of CD$1.884 million.

Market Stats

On Friday, LXXGF stock gained 1.40% to 0.2320 with more than 50K shares, compared to its average volume of 241K shares. The stock moved within a range of $0.2151 – 0.2320 after opening trading at $0.2151.

LexaGene Announces Closing of Second Tranche of Investment by Strategic Institutional Investor

Each Unit consists of a common share of LexaGene and a common share purchase warrant. Notably, each warrant entitles holders to buy one LexaGene common share at CD$0.45 per share and should be exercised within 36 months from the date of issuance.

The funds from the Private Placement will be used to purchase material for the production of more MiQLab Systems and support sales, marketing, and ongoing Research and Development. In line with relevant Canadian securities laws, the securities offered according to the Private Placement are subject to a statutory four-month hold term from the date of issuance. In addition, the securities issued in the offering are not registered under US Securities Act and may not be sold in the US. So investors should watch LXXGF. 

Traders Corner

LXXGF stock is trading below the 20-Day and 50-Day Moving averages of $0.25 and $0.25 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.39.