Datasea (NASDAQ:DTSS) stock is falling on Friday after the company’s shares underwent a rally yesterday on a securities purchase agreement.
That update saw the China-based smart security solutions company provide details on a securities purchase agreement it reached with an investor at the start of the month. The agreement has the company selling 4.76 million shares of DTSS stock to the investor at a price of $1.20 per share.
As part of this agreement, the investor will hold these shares for at least one year. They will also pay a purchase price of $2.856 million in Chinese yuan. The first payment of 20 million yuan must be made no later than Sept. 10, 2023. There’s also a second purchase price and minimum payment due on Sept. 30 that matches the first set.
How This Affects DTSS Stock
With news of the securities purchase agreement came a rally for DTSS stock yesterday. The company experienced a trading volume of around 12 million shares, which was well above its daily average of 282,000 shares. That also pushed the stock 65% higher during normal trading hours.
Now that investors have cooled off from the agreement announcement, though, DTSS is giving up some of those gains. That has the stock down 35.8% as of Tuesday morning as some 175,000 shares change hands.
Investors on the lookout for more of the most recent stock market news will want to keep reading!
We’ve got all of the hottest stock market happenings that traders need to know about on Tuesday! That includes everything going on with shares of Proterra (NASDAQ:PTRA) stock, Biophytis (NASDAQ BPTS) stock and Infinity Pharmaceuticals (NASDAQ:INFI) stock this morning. All of that news is ready to go at the links below!
More Stock Market News for Tuesday
- Why Is Proterra (PTRA) Stock Down 65% Today?
- Why Is Biophytis (BPTS) Stock Up 18% Today?
- Why Is Infinity Pharmaceuticals (INFI) Stock Up 84% Today?
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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.
