Why CN Energy Group Shares Are Getting Hammered

CN ENERGY GROUP Inc CNEY shares are trading lower by 72.95% to $0.59 Monday morning after the company announced a proposed underwritten public offering of securities.

What Else?

CN Energy Group says the offering consists of 18,183,274 units/pre-funded units of both class A ordinary shares and warrants to purchase class A ordinary shares.

CN Energy Group says gross proceeds to the company are expected to be approximately $10 million, before deducting underwriting discounts and other expenses payable by the company.

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CN Energy Group intends to use the net proceeds from this offering for general corporate purposes, including, but not limited to, working capital.  

The offering is expected to close on February 01, subject to the satisfaction of customary closing conditions.

According to data from Benzinga Pro, CNEY has a 52-week high of $2.91 and a 52-week low of $0.46.