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Vision Marine Technologies Surges 17% After Hours on $9.6 Million Public Offering

MarketDash Editorial Team
17 hours ago
Vision Marine Technologies saw its stock jump over 16% in after-hours trading following news of a best-efforts public offering priced at $0.30 per unit, aimed at raising up to $9.6 million to support operations and its electric powertrain technology.

Sometimes a stock is down so much that even modest good news can spark a rally. That's what happened Thursday with Vision Marine Technologies Inc. (VMAR), which saw shares jump 16.67% to $0.28 in after-hours trading after announcing the pricing of a public offering.

The marine technology and retail company isn't exactly raising capital from a position of strength here. But when you're trading at a quarter per share, any lifeline matters.

What's the Deal?

Vision Marine Technologies priced 32 million units at $0.30 apiece, aiming to raise $9.6 million in gross proceeds before fees. This is what's called a best-efforts public offering, which is essentially Wall Street speak for "the underwriter will try their best to sell these shares, but isn't making any promises."

Each unit comes with one common share (or a pre-funded warrant if you prefer) plus half a warrant. If you collect enough warrants to make a whole one, you can buy another share at $0.375. Those warrants stick around for five years, giving investors a potential upside play if the company ever gets its footing.

ThinkEquity is handling the placement as the sole agent, and the deal is expected to close Friday, assuming all the standard conditions are met.

Where's the Money Going?

Vision Marine Technologies laid out a fairly standard use-of-proceeds plan. The funds will support general corporate purposes, working capital, inventory management, floorplan credit lines, general and administrative expenses, and development of its E-Motion electric powertrain technology.

That last bit is the potentially interesting part. The company is trying to position itself in the electric marine propulsion space, which could have legs if the broader electrification trend extends to boats. Whether they can execute on that vision is another question entirely.

Separately, the company filed an amended registration with the Securities and Exchange Commission earlier this week, looking to offer up to 15.09 million common units at an assumed price of $0.53 per unit.

The Bigger Picture Isn't Pretty

Let's be honest about where Vision Marine Technologies stands. The Montreal-based company has a market capitalization of just $1.20 million. The stock has cratered 98.40% over the past 12 months, and it's currently trading at roughly 0.03% of its 52-week range—meaning it's basically kissing its annual low of $0.23.

The stock hit a 52-week high of $38.60, which seems almost impossible given where it trades now. Regular trading on Thursday saw shares close at $0.24, down a brutal 51.96% for the day.

The company's Relative Strength Index sits at 32.96, and the technical picture shows negative price trends across all timeframes. For traders hoping for a quick turnaround, this isn't exactly encouraging. Any bounce will likely face serious resistance, and the long-term chart suggests the path of least resistance remains down.

Still, the after-hours pop shows there's at least some appetite for the stock, even if it's trading at penny stock levels. Whether this offering provides enough runway for Vision Marine Technologies to prove out its electric powertrain technology remains very much an open question.

Back to News

Vision Marine Technologies Surges 17% After Hours on $9.6 Million Public Offering

MarketDash Editorial Team
17 hours ago
Vision Marine Technologies saw its stock jump over 16% in after-hours trading following news of a best-efforts public offering priced at $0.30 per unit, aimed at raising up to $9.6 million to support operations and its electric powertrain technology.

Sometimes a stock is down so much that even modest good news can spark a rally. That's what happened Thursday with Vision Marine Technologies Inc. (VMAR), which saw shares jump 16.67% to $0.28 in after-hours trading after announcing the pricing of a public offering.

The marine technology and retail company isn't exactly raising capital from a position of strength here. But when you're trading at a quarter per share, any lifeline matters.

What's the Deal?

Vision Marine Technologies priced 32 million units at $0.30 apiece, aiming to raise $9.6 million in gross proceeds before fees. This is what's called a best-efforts public offering, which is essentially Wall Street speak for "the underwriter will try their best to sell these shares, but isn't making any promises."

Each unit comes with one common share (or a pre-funded warrant if you prefer) plus half a warrant. If you collect enough warrants to make a whole one, you can buy another share at $0.375. Those warrants stick around for five years, giving investors a potential upside play if the company ever gets its footing.

ThinkEquity is handling the placement as the sole agent, and the deal is expected to close Friday, assuming all the standard conditions are met.

Where's the Money Going?

Vision Marine Technologies laid out a fairly standard use-of-proceeds plan. The funds will support general corporate purposes, working capital, inventory management, floorplan credit lines, general and administrative expenses, and development of its E-Motion electric powertrain technology.

That last bit is the potentially interesting part. The company is trying to position itself in the electric marine propulsion space, which could have legs if the broader electrification trend extends to boats. Whether they can execute on that vision is another question entirely.

Separately, the company filed an amended registration with the Securities and Exchange Commission earlier this week, looking to offer up to 15.09 million common units at an assumed price of $0.53 per unit.

The Bigger Picture Isn't Pretty

Let's be honest about where Vision Marine Technologies stands. The Montreal-based company has a market capitalization of just $1.20 million. The stock has cratered 98.40% over the past 12 months, and it's currently trading at roughly 0.03% of its 52-week range—meaning it's basically kissing its annual low of $0.23.

The stock hit a 52-week high of $38.60, which seems almost impossible given where it trades now. Regular trading on Thursday saw shares close at $0.24, down a brutal 51.96% for the day.

The company's Relative Strength Index sits at 32.96, and the technical picture shows negative price trends across all timeframes. For traders hoping for a quick turnaround, this isn't exactly encouraging. Any bounce will likely face serious resistance, and the long-term chart suggests the path of least resistance remains down.

Still, the after-hours pop shows there's at least some appetite for the stock, even if it's trading at penny stock levels. Whether this offering provides enough runway for Vision Marine Technologies to prove out its electric powertrain technology remains very much an open question.