Very Good Food Stock Plunges After Raising $30M Via Equity Offering

by Shivani Kumaresan, Benzinga Staff Writer

October 15, 2021 10:53 AM | 1 min read |

Very Good Food Company Inc VGFC has priced the registered direct offering of 15 million units at $2.00 per unit. Each unit consists of one common share and one-half of one Common Share purchase warrant.
The company expects $30 million in gross proceeds through agreements with institutional investors to purchase and sell the units.
Each Warrant shall entitle the holder to purchase one Common Share at an exercise price of $2.35. The Warrants will be exercisable for five years from the closing of the offering.
The company intends to use the proceeds from the offering to scale its operations, expand its geographical reach, accretive acquisitions, among others.
The offering is expected to close on or about October 19, 2021.
Price Action: VGFC shares are trading lower by 21.4% at $1.8 on the last check Friday.