TOMI Environmental Stock Slips After $5M Equity Offering

TOMI Environmental Solutions Inc TOMZ has agreed to issue and sell ~2.87 million shares of its common stock with several institutional investors.
The company has also agreed to issue warrants to purchase up to ~1.43 million shares of common stock in a concurrent private placement.
The combined purchase price for one share and a warrant to purchase one-half of one share of common stock is $1.7425. The warrants have an exercise price of $1.68 per share.
The company expects the gross proceeds from the offering to be ~$5 million. It intends to use the net proceeds for sales and marketing expenses associated with products, advertising, purchase of inventory, and other general corporate purposes.
The offering is to close on September 29, 2021.
Price Action: TOMZ shares are trading lower by 12.3% at $1.465 on the last check Monday.