SOBR Safe Shares Slide Over 14% After Hours Following $2 Million Private Placement

SOBR Safe Inc. (NASDAQ:SOBR) shares fell 14.35% in after-hours trading on Wednesday, closing at $2.03.

Check out the current price of SOBR stock here.

The stock closed the regular session up 82.31% at $2.37, according to Benzinga Pro data.

Private Placement Details

The alcohol detection technology company announced definitive agreements to issue 1.29 million shares of common stock at $1.55 per share and associated warrants in a private placement.

The offering includes Series C and Series D warrants to purchase up to 1.29 million shares each, with an exercise price of $1.30 per share.

The warrants will be exercisable immediately upon issuance.

SOBR Safe plans to allocate net proceeds toward working capital and general corporate purposes.

See Also: What Caused Biohaven (BHVN) Shares To Drop More Than 16% After Hours?

Transaction Structure

H.C. Wainwright & Co. is acting as the exclusive placement agent for the transaction, which is expected to raise about $2 million in gross proceeds before fees.

The offering was priced at the market under Nasdaq rules and is expected to close around Dec. 29.

Series C warrants will expire five years after the resale registration statement becomes effective, while Series D warrants will expire after 24 months.

The securities were offered to accredited investors under Section 4(a)(2) of the Securities Act of 1933, an exemption that allows private placements without SEC registration.

Trading Metrics, Technical Analysis

The Denver-based company has a relative strength index (RSI) of 62.53.

The company has a market capitalization of $3.59 million, with a 52-week high of $14.50 and a 52-week low of $1.27.

SOBR is down 80.41% over the past 12 months, signaling a pronounced long-term downtrend.

Trading just 8.3% above its 52-week low, it remains near its lows, suggesting that while short-term opportunities may exist, the broader outlook remains challenging.

Benzinga's Edge Stock Rankings indicate SOBR stock has a negative price trend across all time frames. Track the performance of other players in this segment.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.