Pulse Biosciences Stock Is Trading Higher After Company's Chairman Agrees To Buy Shares Worth $50M

Pulse Biosciences Inc's PLSE Board Chairman, Robert W. Duggan, will purchase 3.04 million common shares at $16.40 per share in a private placement.
All indebtedness owed by the Company to Mr. Duggan under the loan agreement dated March 11, including the principal balance of $41 million and interest of $0.6 million, will be paid through the cancellation and extinguishment of such indebtedness and the issuance of shares in the private placement.
As part of the private placement, Mr. Duggan will invest an additional $8.4 million in new capital.
Mr. Duggan, who currently owns approximately 46% of the Company's outstanding common stock, will own 51% after giving effect to the private placement.
The private placement will close by July 7.
Price Action: PLSE shares are up 26.3% at $20.72 during the market session on the last check Thursday.