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Why Uranium Energy Stock Just Dropped 15.5%

Why Uranium Energy Stock Just Dropped 15.5%

Uranium Energy proposed on Friday to raise $8 million in cash from selling a combination of shares and warrants to permit future purchases of shares at set prices, bundled as "units." Uranium Energy is now proposing to sell 12.5 million units at $1.20 each, each comprising one share of Uranium Energy common stock and one warrant entitling the holder to buy another share of stock for $1.80 at any time up to 24 months after the offering closes. The total cash raised from this offering, which underwriters have already agreed to buy in full, is $15 million, and Uranium Energy says the monies raised "will be used to fund exploration and development expenditures at the Company's projects and for general corporate and working capital purposes."