- The stock price of ShiftPixy (PIXY) fell by 8.26% after hours in the previous trading session. This is why.
The stock price of ShiftPixy (PIXY) fell by 8.26% after hours in the previous trading session. Investors responded to what was revealed in a regulatory filing.
In a Form S-3, ShiftPixy, wrote that pursuant to its prospectus, the selling stockholder identified herein is offering on a resale basis an aggregate of 44,737,740 shares of common stock, par value $0.0001 per share, of ShiftPixy, issuable upon exercise of outstanding warrants with an exercise price of $0.26. And 34,840,834 of the warrants (the July 2022 Warrants) were issued July 19, 2022, pursuant to a warrant exercise agreement, between the company and the selling stockholder (the July 2022 Exercise Agreement), are exercisable commencing January 19, 2023 and expire January 19, 2030, and 9,896,906 of the warrants (the January 2022 Warrants and collectively with the July 2022 Warrants, the Warrants) were issued January 28, 2022, pursuant to a warrant exercise agreement between the company and the selling stockholder, and were amended pursuant to the July 2022 Exercise Agreement. These January 2022 Warrants, as amended, are exercisable commencing July 28, 2022, and have a termination date of July 28, 2029.
The company will not receive any of the proceeds from the sale by the selling stockholder of the common stock. And upon any exercise of the warrants by payment of cash, however, the company will receive the exercise price of the warrants.