Edible Garden Plunges After $10.2M Equity Offering

Edible Garden Plunges After $10.2M Equity Offering
  • Edible Garden AG Inc EDBL has priced its upsized underwritten public offering of 1.6 million units, with each unit consisting of one share and one warrant to purchase one share.
  • Each unit is being sold at a public offering price of $6.30 per unit. The warrants in the units will be immediately exercisable at $6.30 per share and will expire five years from the date of issuance.
  • The shares of common stock and accompanying warrants can only be purchased together in this offering, but will be issued separately.
  • Gross proceeds, before deducting underwriting discounts and commissions and estimated offering expenses, are expected to be approximately $10.2 million.
  • Edible Garden has also granted the underwriters an option to purchase an additional 0.2 million shares. The offering is expected to close on or about Feb. 7, 2023.
  • Edible Garden recently undertook a reverse stock split of its shares of common stock at a ratio of 1-for-30, effective Jan. 26, 2023.
  • Price Action: EDBL shares are trading lower by 42.2% at $4.83 in premarket on the last check Friday.

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