- Cryptocurrency tech company BIGG Digital Assets (BIGG) has increased the size of its previously announced bought deal financing
- The company will now sell up to 24 million of its units at C$0.50 each, for proceeds of $12 million
- Strong demand from investors is apparently the reason why BIGG Digital decided to upsize the financing
- Proceeds of the offering will primarily fund increasing long-term Bitcoin investment holdings and Netcoins advertising and promotion
- BIGG Digital Assets is down 1.72 per cent, and is currently trading for $0.57 per share
Cryptocurrency tech company BIGG Digital Assets (BIGG) has increased the size of its previously announced bought deal financing.
Only yesterday the company announced initial plans to sell 20 million units at C$0.50 each, for gross proceeds of $10 million. However, BIGG Digital will now sell up to 24 million of its units at $0.50 each, for proceeds of $12 million.
The company attributed the decision to upsize its financing to unexpectedly strong demand from investors.
The newly increased offering is being conducted by a syndicate of underwriters, headed by lead underwriter PI Financial Corp. The syndicate also includes Canaccord Genuity Corp and Echelon Wealth Partners.
Each unit in the financing will contain one common share in BIGG Digital Assets, and half of a common share purchase warrant.
Each whole warrant will allow the holder to buy one additional common share in the company at a price of $0.70 per common share. The warrants will be exercisable for the 24 months following the closing date of the offering.
The units will be offered by way of short form prospectus in each of Canada’s provinces, except for Quebec.
Proceeds of the offering will primarily fund increasing long-term Bitcoin investment holdings and Netcoins advertising and promotion. Some funds may also go towards the company’s working capital.
The company will also grant the underwriters an over-allotment option, allowing them to increase the size of the offering. They will have the ability to increase it by up to 15 per cent of the number of units sold during the financing.
BIGG Digital Assets is down 1.72 per cent and trading for $0.57 per share, as of 3:19pm EST.