Why VivoPower International Stock (VVPR) Is Up Over 300%

Zinger Key Points
  • VivoPower International shares are trading higher by 323% during Tuesday's session.
  • The company's Tembo subsidiary announced it will merge with the Nasdaq-listed Cactus Acquisition Corp. 1 Limited.
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VivoPower International PLC VVPR shares are trading higher by 323% to $6.18 during Tuesday’s session after the company’s Tembo subsidiary announced it will merge with the Nasdaq-listed Cactus Acquisition Corp. 1 Limited.

VivoPower says the agreement entails exclusive negotiations for a business combination to merge with CCTS, with Tembo surviving the merger and changing its name to “Tembo Group.” Under the terms, CCTS will issue 83.8 million shares valued at $10 each in exchange for Tembo shares, indicating a pre-money equity valuation of $838 million for Tembo.

Additionally, VivoPower shareholders are set to receive a dividend in Tembo shares, subject to certain conditions and lock-up periods. The transaction is contingent upon the final execution of a Business Combination Agreement and an independent fairness opinion. It is expected to be completed in May 2024, with the closing targeted for August 2024.

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How To Buy VVPR Stock

By now you're likely curious about how to participate in the market for Vivopower Intl – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy ‘fractional shares,' which allows you to own portions of stock without buying an entire share. For example, some stock, like Berkshire Hathaway, or Amazon.com, can cost thousands of dollars to own just one share. However, if you only want to invest a fraction of that, brokerages will allow you to do so.

In the the case of Vivopower Intl, which is trading at $6.52 as of publishing time, $100 would buy you 15.34 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to ‘go short' a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

According to data from Benzinga Pro, VVPR has a 52-week high of $8.90 and a 52-week low of $1.02.

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