Near Intelligence (NASDAQ:NIR) stock is taking a beating on Monday after the data intelligence company filed for Chapter 11 bankruptcy protection.
Near Intelligence is planning to sell all of its assets through the bankruptcy filing. It’s already secured a stalking horse bid from affiliates of Blue Torch Finance LLC to achieve this goal.
On that same note, these Blue Torch Finance LLC affiliates are also providing it with debtor-in-possession (DIP) financing throughout the bankruptcy. This has them giving it $16 million in operating capital. Near Intelligence intends to continue normal operations throughout the bankruptcy.
Investors will note that the Blue Torch Finance LLC affiliates intend to acquire Near Intelligence for a credit offering of no less than $50 million. This takes into account the $16 million in DIP and $34 million the company owes to its lenders through a senior secured credit facility.
How This Affects NIR Stock
With this news, the future of Near Intelligence stock is uncertain. It seems likely that the shares will no longer be traded publicly once the stalking horse bid is complete.
NIR stock is down 33.6% as of Monday morning alongside the bankruptcy news.
Investors looking for more of the latest stock market stories will want to stick around!
We have all of the hottest market news that traders need to know about on Monday! That includes everything happening with shares of Green Giant (NASDAQ:GGE) stock, NextPlay Technologies (NASDAQ:NXTP) stock and Jet AI (NASDAQ:JTAI) stock today. All of that news is available at the following links!
More Stock Market News for Monday
- Why Is Green Giant (GGE) Stock Down 41% Today?
- Why Is NextPlay Technologies (NXTP) Stock Up 43% Today?
- Why Is Jet AI (JTAI) Stock Up 20% Today?
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, William White did not have (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.
