Core One Labs Inc. (OTC:CLABF) Stock In Focus After Recent News

The news about a new capital raise transaction almost always results in considerable attention for a stock, and this morning it could be a good idea to track the Core One Labs Inc. (OTC:CLABF) stock. On Tuesday, the company was in the news after it announced that it was going to conduct a non-brokered private placement of units for the price of $0.15 each for the purpose of generating gross proceeds to the tune of $1,500,000. In the news release, Core One Labs announced that each unit was made up of one common share in the company and half of a transferable share purchase warrant.

Those in possession of a whole warrant would be entitled to pick up an additional share in the company at the price of $0.20 per share up until five years from the date of issuance. It was revealed that the first tranche of private placement is expected to be concluded around April 17, 2024.

Core One Labs announced that the net proceeds from the private placement would be used by the company for working capital and general corporate purposes. As per the relevant applicable securities laws, the securities issued by the company as part of the private placement would be subjected to restrictions with regards to resale for four months and a day since the date of issuance. Additionally, the company would also issue 2% of the number of units issued in the private placement to Amalfi Corporate Services Ltd. in the form of an administrative fee for the assistance provided by Amalfi in the transaction.

However, Core One Labs also stated that it did not envisage paying any finder’s fee related to the private placement. It remains to be seen if the company’s stock comes into focus this week in light of the latest developments.