Why E-Home Household Service Shares Are Nosediving

E-Home Household Service Holdings Ltd EJH shares are trading lower by 12.60% to $0.17 during Monday's trading session after the company announced a share purchase agreement with White Lion Capital for up to $12.3 million.

E-Home Household Service says, under the Purchase Agreement, on any trading day selected by the company, the company has the right, but not the obligation, to present the Investor with a purchase notice, to request the Investor to purchase up to a certain number of the Ordinary Shares.

E-Home Household Service says the purchase price per share to be paid by the Investor will be 88% of the lowest daily volume-weighted average price as defined in the Purchase Agreement.

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According to data from Benzinga Pro, E-Home Household Service Holdings has a 52-week high of $3.58 and a 52-week low of $0.16.