It was a bad day in the market for investors in Anfield Energy Inc (OTCMKTS:ANLDF) as the company’s stock suffered from a massive selloff and went down by as much as 19% as a consequence.
Market Reaction
On Thursday, ANLDF stock fell 18.30% to $0.0875 with 1.30 million shares, compared to its average volume of 440K shares. The stock moved within a range of $0.0851 – 0.1170 after opening trade at $0.1040.
Anfield Energy Announces Upsized C$15 Million Private Placement
In this situation, it may be a good idea to perhaps take a look at the actual event that led to the rapid fall. The company came into focus yesterday after it upped the size of its private placement and raised it to as much as C$15 million. The company announced that it had amended the agreement with Haywood Securities Inc and entered into a new one.
The company is going to sell as many as 125000000 subscription receipts and those receipts are going to be priced at C$0.12. The cash that is going to be raised from the placement is then going to be used for the purpose of financing the cash element in a debt settlement.
It was clear to see that the announcement was no received with any enthusiasm by investors and the decline in the stock price was perhaps not really a surprise. It now remains to be seen if the stock bounce back.
Traders Review
ANLDF stock is trading below the 20-Day and 50-Day Moving averages of $0.1045 and $0.0945 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.0949.
