U.S. Goldmining (NASDAQ:USGO, NASDAQ:USGOW) stock is taking off on Friday following the company’s initial public offering (IPO) yesterday.
U.S. Goldmining didn’t see positive movement during its first day of trading yesterday. The company’s shares experienced a 9.5% drop during normal trading hours. However, it’s now bouncing back from that with today’s movement.
One oddity is the warrants for the company’s stock taking off after the IPO. This resulted in a massive gain yesterday and that continues today. That’s interesting, considering how USGO stock is moving.
Details of USGO Stock IPO
U.S. Goldmining shares went public yesterday with an IPO price of $10 per share. The warrants included in this offering have an exercise price of $13 per share. Investors got one warrant for each share of USGO that they bought.
Investors will also note that USGO is raising $20 million in gross proceeds from its IPO. However, the offering will still leave it with control of 9.62 million outstanding shares. That represents a 79% stake in the company.
During its public debut yesterday, some 231,000 shares of USGO stock changed hands. For comparison, around 203,000 shares have been traded as of this writing.
As the name implies, U.S. Goldmining is a company focused on gold mining operations. Its main focus is the Whistler gold-copper project, which is located 170 kilometers northwest of Anchorage, Alaska.
USGO stock is up 10.7% and USGOW shares are up 105.9% during pre-market trading on Friday.
Investors looking for more of the most recent stock market news will want to keep reading!
We’ve got all of the hottest stock coverage worth knowing about on Friday! That includes the biggest pre-market stock movers this morning, as well as what hit stocks yesterday and more. You can find all of that at the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
