VANCOUVER - Luxxfolio Holdings Inc. (CSE:LUXX) (OTCQB:LUXFF) announced Friday a non-brokered private placement offering of up to 5,882,352 units at $0.17 per unit to raise gross proceeds of up to $1 million. The offering price represents a premium to the current trading price of $0.13, with the stock currently trading in line with its InvestingPro Fair Value.
Each unit consists of one common share and one share purchase warrant. The warrants will allow holders to purchase additional shares at $0.35 each for 24 months following the closing of the offering. This target price represents a significant premium over Luxxfolio’s 52-week range of $0.07-$0.65, with the stock currently trading 81% above its yearly low.
The digital infrastructure company may pay finder’s fees in connection with the offering, which remains subject to customary conditions and necessary approvals. According to the press release, Luxxfolio intends to use the net proceeds for general working capital and development of its Litecoin mining initiatives. With a market capitalization of just $3.65 million and a strong current ratio of 7.75, InvestingPro data shows the company maintains a "FAIR" overall financial health score despite recent negative returns.
The securities offered have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States unless registered or exempt from registration requirements.
Luxxfolio describes itself as a digital infrastructure and technology company focused on enabling crypto-powered commerce. The company is developing technologies supporting cryptocurrency use cases including stablecoin payments, merchant processing, and self-custody wallets. The firm has adopted a Litecoin treasury strategy as part of its long-term vision.
The announcement was made in a company press release issued Friday.
In other recent news, Luxxfolio Holdings Inc. announced the appointment of Leva Guoga to its board of directors. Guoga brings a wealth of experience to the position, currently serving as a Non-Executive Director at DigitalX Limited and as Guardian of the Guoga Family Office. Her background also includes consulting for Sol Strategies Inc., where she was involved in merger and acquisition activities and contributed to infrastructure initiatives in the Solana ecosystem. These developments indicate a strategic move by Luxxfolio to strengthen its leadership team. The company has not disclosed further details about how Guoga’s appointment might influence its operations or strategies. However, her expertise in the digital and financial sectors could provide valuable insights. Investors may be watching closely to see how this appointment impacts Luxxfolio’s future endeavors.
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