STOCKS TELEGRAPH

Author: ST Staff

  • Americas Gold and Silver Corp. (USAS) Stock Experiences Minor Volatility Following Galena Milestone

    Americas Gold and Silver Corp. (USAS) stock prices were up by 1.25% at the end of market trading on July 12th, 2021, bringing the price per share up to USD$1.62. Subsequent premarket fluctuations saw the stock fall by 6.79%, bringing it down to USD$1.51.

    Galena Milestone

    The company announced on July 12th 2012 that it had reached a significant milestone in its Galena Complex Recapitalization Plan, having completed its Phase 1 drilling program. The most recent mineral resource update was released in September 2020, having successfully demonstrated the significant exploration potential at the property. This is shown by the significant increase in Measured and Indicated Resource of 36%, while Inferred Resource was up by 100%.

    Mineral Resource Forecast

    An updated Mineral Resource estimate is forecasted to be provided by the company by the end of August 2021. USAS is confident that the resource estimates will increase by the company’s target for over 50 million ounces of silver when considering Galena on a 100% basis. This forecast is based on the success of continued exploration from drilling completed during July 2020 through to June 2021.

    Production Growth

    2021 is expected to be a transitional year at the Galena Complex with production volumes in mind, as exploration drilling continues to facilitate ongoing success. The company’s operations will support production growth towards a 2 million silver ounce per year plan by the end of 2022. Contingent on the ongoing success of the exploration drilling, the company is confident in the long run that production will hit its historical annual production levels of roughly 5 million ounces per year.

    Galena Phase 2

    The Phase 2 drill program has an anticipated commencement date of the third quarter of 2021, with several targets already identified. Drilling will be centered around a newly developed drill station east on the 5500-Level, in the interest of continuing to test the extension of the Silver Vein at depth. This comes after the success of the initial 21-hole drill program, with subsequent drill stations being planned further east on the 5500-Level in order to continue targeting the Silver Vein and 360 Complex.

    Future Outlook for USAS

    Armed with the promising development of their exploration drilling program, USAS is poised to capitalize on the opportunities afforded to it by its continued and effective allocation of resources. Current and potential investors are hopeful that management will continue to facilitate organic and long term growth as the company continues to extrapolate its trajectory of success.

  • Ivanhoe (IVAN) Stock Expanded 7% Premarket. Any Reasons?

    The shares of Ivanhoe Capital Acquisition Corp. (IVAN) were up 7.07% to trade at $11.20 in pre-market activity today. The IVAN stock price closed at $10.43 on Monday after rising 0.29% in the session. The volume of IVAN stock traded on the day remained at 101.48K shares, which is higher than the average daily volume of 58.36K shares over the past 50 days. Over the past month, IVAN has gained 3.67% of value while its shares have moved 2.15% in the past week.

    During the past six months, the price of IVAN stock jumped 3.56%, but it has lost -2.70% since the start of the year. Additionally, IVAN’s current market cap stands at 357.73 million, while its outstanding shares were 34.40 million. A battery maker firm has agreed to go public via IVAN, causing the IVAN stock price to rise in premarket sessions.

    The agreement tells us what?

    In fact, Ivanhoe Capital is a special purpose acquisition company (SPAC) without any significant operations. IVAN intends to operate through a merger, share exchange, asset acquisition, share purchase, reorganization, or similar combination of businesses to provide the best value to shareholders. Founded in 2020as a shell company, IVAN is headquartered in New York.

    In a report published by Bloomberg today, SES Holdings Pte has agreed to merge with Ivanhoe Capital Acquisition Corp for the purpose of going public.

    • Bloomberg reported citing people familiar with the matter that the combined company would be valued at $3.6 billion.
    • These sources, who did not want to be named because the information is confidential, said the combined company will get as much as $476 million in gross proceeds.
    • A private investment in public equity, or PIPE, has been fully committed by IVAN, a blank check company, totaling about $276 million, according to the people.
    • People familiar with the transaction say that Koch Strategic Platforms, Hyundai Motor, Geely Holding Group, Kia Corp., and General Motors Co. participated in the $200 million PIPE.
    • Investors can expect the announcement of the merger agreement between IVAN and SES as early as Tuesday.
    • The representatives of SES as well as Ivanhoe did not respond to Bloomberg’s request for comment.
    • SES is a Singapore-based manufacturer of hybrid lithium-metal batteries for electric vehicles or EVs.

    How IVAN will complete the transaction?

    Ivanhoe Capital Acquisition (IVAN) raised $276 million in its January IPO, including shares known as greenshoes. Following the merger between SES and IVAN, the combined company is expected to be listed on the New York Stock Exchange under the symbol SES.

  • What Happened To Make NEWA Stock Drop In Premarket Session?

    As of the last check in premarket session, Newater Technology Inc. (NEWA) was down -6.47% to trade at $3.90. The stock of Newater closed at $4.17 on Monday after rising 10.92% during the day. The volume of NEWA stock traded on the day was 14.46 million, significantly higher than the average daily volume of 85.15K over the past three months. NEWA stock fluctuated between $3.7001 and $5.39 during the trading session. NEWA stock rose in the last session after its shareholders approved the merger agreement but has been falling in the premarket session today.

    What company is merging with NEWA?

    Yantai, China, is home to Newater, which was founded in 2012. NEWA’s wholly-owned subsidiary Yantai Jinzheng Eco-Technology Co Ltd operates its business. NEWA specializes in using disk tube reverse osmosis (DTRO) and disk tube nanofiltration (DTNF) membranes to treat, recycle, and dispose of waste water. Water purification, engineering support, technical advice, and other project-related services are all included in the comprehensive technical solutions that NEWA offers to turn wastewater into valuable clean water.

    Newater announced that its shareholders voted in favor of approving the previously announced merger agreement dated September 29, 2020 at an extraordinary general meeting held yesterday.

    • Crouching Tiger Holding Limited, a Cayman Islands company, and Green Forest Holding Limited, a British Virgin Islands subsidiary, were parties to the Merger Agreement with NEWA.
    • According to the merger agreement, Green Forest will merge with and into NEWA, with Newater continuing as the surviving company and becoming Crouching Tiger’s wholly owned subsidiary.
    • In addition, NEWA shareholders approved the merger plan to be submitted to the British Virgin Islands Registrar of Corporate Affairs.
    • A majority of NEWA’s shareholders also voted to approve the Merger Agreement and Plan of Merger, with the Merger as one of the transactions.
    • NEWA voted by proxy at its extraordinary general meeting 80.73% of its outstanding ordinary shares as of the British Virgin Islands close of business on February 10, 2021.
    • For each NEWA ordinary share, each shareholder has one vote.
    • A majority of shareholders voted for the merger agreement, the plan of merger, the transactions contemplated thereby, including the merger, representing approximately 63.84% of NEWA ordinary shares.

    What will happen when NEWA combines?

    Under the Merger Agreement, a number of closing conditions must be satisfied, or waived, in order to complete the NEWA’s Merger. In order to satisfy the closing conditions, Newater (NEWA) will work with the other parties to the Merger Agreement. The ordinary shares of NEWA would cease to be listed or traded on any stock exchange once it becomes a private company.

  • SCWorx Corp. (WORX) Stock Skyrockets as Meme Stock Phenomenon Continues to Run Rampant

    SCWorx Corp. (WORX) stock prices skyrocketed by 59.28% as of the market closing on July 12th, 2021, bringing the price per share up to USD$2.66. Subsequent premarket fluctuations have seen the stock rise by a massive 58.27%, bringing it up to USD$4.21.

    Regaining Nasdaq Compliance

    June 1st 2021 saw the company announce that it had regained Nasdaq compliance in regard to their continued listing requirements for periodic reporting. This was a result of WORX’s filing of a Form 10-K for the year ended December 31st 2021. Furthermore, a letter from Nasdaq, dated May 27th, 2021, consolidated the regaining of compliance with the annual meeting requirement, on the basis of the company having completed its Special Meeting as a substitution for the Annual Meeting of Stockholders. As such, the company has addressed its deficiencies and continues to be traded on Nasdaq under the WORD ticker.

    Change in Leadership

    The company also concurrently announced the promotion of WORX’s President and COO, Tim Hannibal, to the role of Chief Executive Officer. Having joined the company in the latter half of 2016, Mr. Hannibal brings a wealth of expertise from his tenure as Founder, President and CEO of VaultLogix, a Software-as-a-Service company, for 13 years.

    Contextualizing WORX’s Gains

    While promising, these developments do not adequately explain the recent surge in WORX’s stock price. Rather, in the absence of any significant developments or changes in fundamentals, WORX seems to be the latest target of the meme stock phenomenon that has been spreading like wildfire across the stock markets. The absence of underlying reasons to rationally invest in the company goes as far as to see companies with obvious reasons to not invest in being pumped and inflated.

    Meme Stock Phenomenon

    A high short interest seems to be a common denominator among the stocks being targeted by the meme stock movement, signaling institutional investors’ confidence in the company’s stock price falling. Accordingly, retail investors coordinate a short squeeze, seeking to capitalize on the confidence of the institutional investors. As a result, some of the biggest names in finance have seen losses in the billions, with some going as far as to declare bankruptcy. Given the largely baseless driving forces behind the movement, these gains in stock prices are rife with inherent volatility and risk.

    Future Outlook for WORX

    Nevertheless, armed with the fortuitous surge in equity value, WORX is poised to capitalize on the opportunities afforded to it from the expanded scope of exposure it has received. Current and potential investors are hopeful that management will be able to leverage the resources at their disposal to facilitate more organic growth over the long term.

  • Did Anything Boost Equillium (EQ) Stock Premarket Today?

    Equillium Inc. (EQ) shares gained 4.61% to $5.90 in premarket trading today. Equillium stock gained 1.81% to finish the last trading session at $5.64. Trading volume for the EQ stock was 0.18 million shares, which is higher than the 0.14 million daily average volume published over the past 50 days.

    In the last five days, EQ stock price has risen -1.91%, but in the last month, it has dropped -19.20%. This year, the price of EQ stock has gained 76.80 percent so far after losing -14.29 percent over the last three months. EQ’s stock rose after it announced plans to initiate a pivotal study.

    EQ’s study was about what?

    Biotechnology company Equillium is developing novel products for severe autoimmune and inflammatory disorders, which have high demands for treatment. It leverages its deep understanding of immunobiology to identify and develop products. In addition to the planned pivotal study in acute graft-versus-host disease (aGVHD), EQ is also testing itolizumab in lupus/lupus nephritis and asthma.

    The US Food and Drug Administration (FDA) and Equillium have completed an End-of-Phase 1 meeting for itolizumab for the treatment of acute graft-versus-host disease (aGVHD), as announced by the company in a press release yesterday.

    • EQ and the FDA confirmed progress on Phase 3 pivotal study of itolizumab in aGVHD in preparation for the Biologics License Application (BLA) submission.
    • EQ plans to begin its Phase 3 study in the fourth quarter of 2021.
    • Due to the positive outcome of its FDA meeting, EQ will immediately begin a pivotal clinical trial, taking it one step closer to obtaining FDA approval for the first-line treatment of aGVHD.
    • Current standard of care, high-dose corticosteroids, falls significantly short of the needs of this severely ill patient population.
    • Clinical responses from Equillium’s EQUATE Phase 1b were rapid and durable, and a rapid abatement in systemic corticosteroid use was shown to be vital for positive long-term outcomes.
    • EQ has received FDA fast track and orphan drug designations for itolizumab, and with the FDA’s feedback, the company is immediately moving to late-stage development and will focus on collecting data necessary for submission of a BLA.

    How will EQ proceed with the study?

    Equillium (EQ) received FDA guidance on how to design the pivotal study at this meeting. Equillium also received guidance from the FDA on chemistry, manufacturing, and controls (CMC), nonclinical, and regulatory issues to support its proposed study and BLA submission of itolizumab for the first line treatment of aGVHD in combination with corticosteroids. As a result of FDA feedback and guidance, Equillium (EQ) is finalizing the details of its Phase 3 protocol.

  • How Did CHPT Stock Fall In The After-Hours Session?

    How Did CHPT Stock Fall In The After-Hours Session?

    Shares of the leading electric vehicle (“EV”) charging network, ChargegPoint Holdings Inc. (CHPT) fell by -5.66% after-hours on Monday to $27.15. ChargePoint stock closed last session at $28.84, increasing 3.37% or $0.94. CHPT stock traded between $27.6667 and $29.48 in the regular session.

    During the day, shares of CHPT changed hands for 4.62 million, which was less than its average daily volumes of the past 50 days of 5.04 million and was below the average of 5.36 million since start of the year. CHPT stock dropped after some stockholders unveiled their plan to offer the common shares of the company.

    Shareholders intend to sell CHPT shares in what way?

    Using electricity to move people and goods, ChargePoint is building a new fueling network. With one of the largest EV charging networks available today and a wide range of charging solutions for businesses and drivers, CHPT has made going electric simple for businesses and drivers. A cloud subscription platform and software-defined charging hardware developed by CHPT can support charging at home, in multifamily buildings, and at the office, in parking lots, hospitality establishments, retail stores, and for transport fleets of all types.

    According to a registration statement filed with the Securities and Exchange Commission (the “SEC”), ChargePoint unveiled that certain selling stockholders intends to offer 12,000,000 shares of CHPT common stock having a par value $0.0001.

    • The underwriters will have a 30-day option to purchase up to 1,800,000 additional shares of CHPT common stock from the selling stockholders.
    • Stockholders of CHPT are selling their entire holdings of CHPT common stock.
    • All proceeds from the offering will go to the selling stockholders.
    • This offering will be managed jointly by Goldman Sachs & Co LLC, Oppenheimer & Co and BofA Securities.
    • Morgan Stanley will manage the offering as book-running manager.
    • CHPT Common Stock was offered through an SEC registration statement on July 12, 2021, but the statement has yet to take effect.

    CHPT’s latest EV move:

    ChargePoint has recently partnered with Mercedes-Benz to create a new charging benchmark in North America called Mercedes me Charge. It will be available in all future Mercedes-EQ mobility products, including the all-new EQS luxury sedan that will go electric. This collaboration has resulted in an industry-leading charging experience; ensuring drivers have access to EV charging from a range of networks including CHPT and others.

    Mercedes me Charge drivers will enjoy a frictionless cross-charging network experience with ChargePoint (CHPT)’s integration of multiple charging network providers without the need to manage multiple charging network accounts, subscriptions, or charging cards. Using the Mercedes me Charge mobile app, or by using the vehicle’s navigation system, drivers will locate, use and pay for charging sessions.

  • What Drove The UXIN Stock Higher In Extended Trades?

    What Drove The UXIN Stock Higher In Extended Trades?

    In after-hours trading on Monday, shares of the leading nationwide online used car dealer in China Uxin Limited (UXIN) appreciated 9.23% to $3.67. UXIN finished the last trading session at $3.36, down by -2.89%. Shares of UXIN traded between $3.32 and $3.50 during the session.

    UXIN traded 1.87 million shares, less than its daily average of 14.59 million shares over the past 100 days. In the past five days, UXIN shares have fallen -8.45% while in the last month, they have dropped -31.15%. On the news of the first tranche closing of UXIN’s financing transaction, UXIN stock gained traction.

    How did UXIN complete the transaction?

    Uxin Limited is one of China’s leading online used car dealers. The mission of UXIN is to help people acquire the car of their dreams online by offering high-quality used cars and top-of-the-line purchasing services. Through UXIN’s one-stop online shopping mall, consumers can browse a wide selection of used cars with value-for-money, shop for products and services that add value as well as receive comprehensive aftersales services.

    At UXIN, online sales consultants provide professional assistance to customers so they can make an informed and timely decision about their cars. For these online transactions, UXIN’s comprehensive fulfillment network supports nationwide delivery and logistics, as well as title transfers across China’s different cities.

    On Monday, Uxin Limited announced that the initial tranche of its US$315 million financing transaction was closed.

    • UXIN has issued 291,290,416 senior convertible preferred shares as part of the financing transaction.
    • In total, 97,096,805 American Depositary Shares (ADS) of UXIN will be issued.
    • NIO Capital and Joy Capital purchased the shares for a combined purchase of US$100 million from UXIN.
    • com, TPG, and Warburg Pincus are among the holders of UXIN’s convertible notes who have converted them for an aggregate principal amount of US$69 million.
    • As a result, the notes were converted into 66,990,291 ordinary shares of UXIN, which corresponds to 22,330,097 ADSs.
    • A group of more than ten investors, including major players NIO Capital, Joy Capital, as well as those who hold convertible notes, have agreed not to sell their UXIN shares for a period of nine months beginning July 12, 2021.
    • The agreed-upon terms and conditions will govern the closing of the remaining tranches.

    UXIN announces changes to its Board of Directors:

    As stipulated in the agreements, UXIN also announced changes to its Board of Directors. On July 12, 2021, Dr. Zhuang Yang and Mr. Cheng Lu were appointed as independent directors of the UXIN Board while Mr. William Bin Li and Mr. Erhai Liu have joined UXIN Board as directors. The members who resigned from the UXIN Board of Directors include Qiang Chang Sun, Muyuan Wang, Yong Zhong Huang, Cheng Cheung Lun Julian, Lin Cong, and Shun Lam Steven Tang.

  • Vinco Ventures, Inc. (BBIG) Stock Trends Higher Ahead of Pending Finalization of Reverse Merger with Zash Global

    Vinco Ventures, Inc. (BBIG) Stock Trends Higher Ahead of Pending Finalization of Reverse Merger with Zash Global

    Vinco Ventures, Inc. (BBIG) stock prices were up by 7.2179% some time after market trading commenced on July 12th, 2021, bringing the price per share up to USD$4.08 early on in the trading day.

    Reverse Merger with Zash

    The company announced in January of 2021 a reverse merger with a private media company called Zash Global Media, with the fate of BBIG’s stock seeming to depend on the closing of the merger. Following the move, Zash will become the controlling company, while retaining both Vinco’s name and the BBIG ticker. The company hopes to allow BBIG to cover its losses in order to facilitate the expansion of the business. The reverse merger is expected to be approved some time in July of 2021.

    Acquisition of Lomotif

    The combined company also has plans on acquiring Lomotif, a contender of the market space currently dominated by the TikTok platform. The merger is designed to utilize data, metadata, and the Internet of Things, to meet the perpetually evolving demands of content developers, consumers, and creators. February 2021 saw Farnsworth and Ma acquire a controlling stake in Lomotif, facilitating the participation of shareholders in BBIG’s growth.

    Healthy Liquidity Position

    The company reported USD$5.5 million in cash as of March 31st, 2021, indicating a comfortable liquid position, including USD$1.68 million in receivables. Nevertheless, the company is running steep cash flow losses, as indicated by a loss from operations in the amount of USD$4.14 million for the first quarter of 2021.  May 24th, 2021 saw an accredited investor exercise warrants of the company’s stock, generating an additional USD$5.74 million.

    Emmersive Entertainment Spin Out

    June 24th saw the Vinco-Zash duo invest USD$2 million in Lomotif after receiving investment in the same amount. The same date also saw the company announce its spinning out of Emmersive Entertainment to its shareholder as a standalone public company. This sees the company enter the non-fungible token space, with the deal expected to close in the third quarter of fiscal 2021.

    Future Outlook for BBIG

    Armed with the recent string of collaborations, BBIG is poised to capitalize on the expansive opportunities afforded to it as it consolidates its existing market footprint while also expanding into other markets. Investors are hopeful that the company will continue to leverage the resources at its disposal to maintain its trajectory of success, thus ushering in sustained growth in the long term.

  • Origin Agritech Ltd. (SEED) Stock Surges Following Expansion of GMO Trait Portfolio

    Origin Agritech Ltd. (SEED) Stock Surges Following Expansion of GMO Trait Portfolio

    Origin Agritech Ltd. (SEED) stock prices were up by 29.22% some time after market trading commenced on July 12th, 2021, bringing the price per share up to USD$11.63 early on in the trading day.

    Exclusive Rights Agreement

    July 12th, 2021 saw the company announce that it had entered into an exclusive rights agreement with the Biology Research Institute of the Chinese Academy of Agricultural Sciences, in regard to its proprietary drought resistant GMO trait. The agreement will see the company gain exclusive global rights to the GMO trait for the entire duration of the patent. The Chinese Ministry of Agriculture and Rural Affairs approved the drought tolerance corn for production trials, representing the fourth stage in a five stage process to receive a bio-safety certificate.

    Drought Resistant Traits

    With the company already having successfully converted its elite corn hybrids into drought resistant  traits, which express excellent performance under water stress conditions throughout the growing period. Multi year experiments have indicated drought tolerance corn yield that is 9.2 to 16.2% higher than non-GMO corn under water stress conditions. In the case of irrigation, the GMO enhanced corn increases water use efficiency by 33-47%.

    Approval for Hybrid Corn Breeds

    July 8th, 2021 had seen the company announce its approval from the Ministry of Agriculture and Rural Affairs for four of its new hybrid corn breeds. This move has seen the company expand its product pipeline and increase its competitiveness in the Chinese corn seed market. The company also has GMO enhanced versions of the newly approved hybrids that are currently in the approval pipeline.

    Scope of Approval

    The Ministry of Agriculture and Rural Affairs recently increased the national standards required for the approval of corn and rice varieties, thus further promoting further innovation in germplasm development. Being on of the few participating companies in the Green Pass program, the company is in a unique position to streamline the approval process, resulting in the submission of more hybrids for approval per year. This will, in turn, strengthen the company’s ability to add multiple new hybrids to market annually, which will include many GMO enhanced hybrids.

    Future Outlook for SEED

    Armed with the recent development of its product pipeline, SEED is poised to push for the accelerated commercialization and effective proliferation of its corn hybrids in the Chinese market space. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • State Auto Financial Corporation (STFC) stock surged in the current trading session by triple percentage digits; here’s why

    State Auto Financial Corporation (STFC) stock surged in the current trading session by triple percentage digits; here’s why

    In the current trading session, we found out that State Auto Financial Corporation (STFC) shares surged up by a whopping triple-digit percentage of 190.09% to trade at the price of $50.07 at the last check. This surge is mostly correlated with the announcement of STFC’s acquisition by Liberty Mutual Insurabce, STFC stock previously closed the session at $17.26. The STFC stock volume traded 0.92 million shares, while the average daily volume of trade for the past 50 days has been 55805.0 shares. STFC stock shares have risen in the past year up to date by 5.95% and in the past week, the shares moved down by -2.92%. In the past three and six months, the STFC stock shed -13.48%, and -5.27% respectively. Furthermore, State Auto Financial Corporation is currently valued in the market at $745.46 million and has outstanding shares of 43.90 million.

    All you need to know about State Auto Financial Corp.

    State Auto Financial Corporation is an Insurance company that provides insurance products specifically for Property as well as Casualty. State Automobile Mutual Insurance Company Inc. is the parent company of which STFC stock is a subsidiary of. The company has partnerships and many subsidiaries through which it provides the services of its insurance products to various clients. STFC stock has set up its operation basis and targeted the market of the United States. The product offering of its insurance services includes the segment of Personal Insurance, Investment Operations, and Commercial Insurance.

    Out of these three segments of insurance products, the personal insurance refers primarily to the provision of automobile, homeowners and other products which are intended for personal use. The segment that focuses on the automobile, Small-to-Medium sized commercial exposures in the market for commercial purposes is known as the Commercial segment. These also include farm land and ranch insurances. The investment operations revolve around the investment management services which are given to companies that want to affiliate themselves with insurance firms. The marketing channel of the company for all its three segments of insurance products includes independent agencies which include retail agencies and wholesale brokers. The origin of the company is from 1950 and the headquarter of the company is situated in Columbus Ohio.

    State Auto Financial Corporation is being acquired by Liberty Mutual Insurance – the sixth-largest property and casualty insurer

    Liberty Mutual Insurance is the sixth-largest global property and casualty insurer which includes a wide and diverse range of insurance related to automobile, homeowners, specialty lines, worker’s compensation, commercial automobile, surety, commercial multiple-peril, and commercial property.

    Liberty Mutual Insurance announced on 12th July 2021 that it has signed a definitive agreement with State Auto Financial Corp. in which the latter company will be acquired by Liberty Mutual. The State Auto Mutual members will become part of Liberty Mutual and the shares that are publicly held for the STFC stock will all be acquired by Liberty Mutual for $52 per share. This deal will be carried out in all-cash transactions.

    It is obvious that Liberty Mutual being the 6th largest insurer wants to expand and grow further to scale up its business and market share in the personal lines and small commercial insurance space. The company has a partnership and deal with more than 10,000 independent agencies countrywide for providing its insurance products.