This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stock Offerings: Converted Organics

NEW YORK ( TheStreet) -- Converted Organics (COIN) shares fell hard Wednesday after the company announced a registered direct offering of 2.4 million shares of common stock.

Converted Organics shares have rallied 61% in 2010, although the stock took an 8.6% hit after the company said it will issue 2.4 million shares to a single institutional investor for gross proceeds of approximately $2.54 million.

Converted Organics also issued to the institutional investors five-year warrants to purchase an additional 1.16 million shares of common stock at an exercise price of $1.06 per share.

Lately, Converted Organics shares were down 10 cents, or 8.6%, to $1.07. Share volume topped 4.54 million shares, more than tripling the 50-day average daily volume.

Elsewhere, Two Harbors Investment (TWO - Get Report) slipped 1.5% to $8.85 after the company priced an offering of 11.5 million shares of common sock at $8.90 per share. Gross proceeds will total approximately $102.4 million, the company said.

Two Harbors Investment had cancelled an offering of 14 million shares of common stock on April 16, having determined that the available share price "would result in an unacceptable dilution of book value to existing shareholders."

Among other offerings, KMG Chemicals (KMGB) said Chairman David Hatcher is offering 1 million shares priced at $17.50 per share. Hatcher is KMG's largest shareholder and will still continue to own more than 3.1 million shares in KMG after the offering. KMG shares dropped $1.80, or 9.1%, to $17.84 on nearly double the average daily volume.

China Armco Metals (CNAM) said it will sell approximately 1.53 million shares of common stock to institutional investors in a private placement at a price of $6.50 per share. The investors will also be given warrants to buy an additional 1.53 million shares of common stock with an exercise price of $7.50 per share.

Kexuan Yao, China Armco's chairman and CEO, said the additional capital "will significantly enhance our ability to rapidly grow our businesses for the foreseeable future." Still, China Armco shares fell by 58 cents, or 8.4%, to $6.37.

Xenonics Holdings (XNN) slid by 3 cents, or 5.8%, to 48 cents after the company said it completed a registered offering of 1.1 million shares to institutional investors at a price of 50 cents per share. Xenonics also issued 1.1 million warrants to the investors to buy shares at an exercise price of 65 cents per share.

Xenonics said it "does not anticipate the need for any additional financing," and that the net proceeds of the registered direct offering will be used to build inventory to satisfy the pending demand for the company's products.

-- Written by Robert Holmes in Boston.

Follow Robert Holmes on Twitter and become a fan of on Facebook.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
TWO $7.78 0.00%
AAPL $93.64 0.00%
FB $118.57 0.00%
GOOG $698.21 0.00%
TSLA $241.80 0.00%


Chart of I:DJI
DOW 17,891.16 +117.52 0.66%
S&P 500 2,081.43 +16.13 0.78%
NASDAQ 4,817.5940 +42.2360 0.88%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs