- The stock price of Torchlight Energy Resources Inc (NASDAQ: TRCH) increased by over 40% pre-market. This is why it happened.
The stock price of Torchlight Energy Resources Inc (NASDAQ: TRCH) increased by over 40% pre-market. There appears to be a coordinated short squeeze by retail investors through various social media platforms of Torchlight Energy stock.
Another catalyst that is driving the stock price up is the pending merger with Metamaterials. Plus Torchlight had also announced a Special Dividend of Series A Preferred Stock to be issued on a one-for-one basis to Common Stockholders of Record as of the close of market trading on June 24, 2021 (subject to adjustment for any reverse split of Torchlight’s common stock after the record date but before the dividend is paid). And this Special Dividend is to be issued in connection with the previously announced business combination transaction with Metamaterial.
The stockholders of record on June 24, 2021, will be entitled to receive the dividend which will consist of one share of Series A Preferred Stock for each one share of common stock owned on that date (subject to adjustment for any reverse split of Torchlight’s common stock after the record date but before the dividend is paid). The holders of Series A Preferred Stock will be entitled, on a pro rata basis, to any future net proceeds or other potential benefits derived from the disposition of the oil and gas assets of Torchlight, subject to certain holdbacks.
“Nice release by Torchlight Energy, the dividend date is 06/24 (ten day notice required), there is a T plus 2 rule so last chance to be in Torchlight Energy is Tuesday 06/22 end of day,” wrote Metamaterials CEO George Palikaras in a tweet last week.
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