The placement price represents a discount of 8.87% to the volume weighted average price (VWAP) to the company’s average share price of 12.62 cents for the total trades done on Oct 25. Oct 25 is the last full market day of trades made for Totm Technologies’ shares before it called for a trading halt.
Totm Technologies is seeking to raise $8.17 million through a proposed placement of 71 million new shares at an issue price of 11.5 cents apiece.
In a filing on Oct 28, the Catalist-listed company announced that it had entered into a placement agreement with SAC Capital. Under the agreement, Totm Technologies had agreed to offer to procure subscriptions for the 71 million new shares.
