- The company’s board re-emphasized its commitment to a non-dilutive capital strategy.
- VivoPower recently terminated its at-the-market equity offering agreement with Chardan Capital Markets.
- In February, VivoPower raised $30 million through a strategic PIPE deal.
Shares of VivoPower International (VIVO) surged nearly 20% on Wednesday, breaching its 100-day moving average for the first time in a month, after the company removed a major dilution overhang by terminating a Form F-3 registration statement.
Source: TradingView
VivoPower said that it will not issue any additional shares under that filing, with the board re-emphasizing its commitment to a non-dilutive capital strategy.
Separately, the stock began trading on Nasdaq under the “VIVO” ticker on Monday.
VivoPower Terminates $180M Fund Raising Option
VivoPower’s Form F-3 stated that the company could raise up to $180 million through a mix of securities, including ordinary shares, debt, warrants, rights, and units, under a shelf prospectus.
This follows VivoPower's termination of its at-the-market (ATM) equity offering agreement with Chardan Capital Markets last month. The company said it had reviewed its cash flow and capital needs and decided to go for non-dilutive funding sources.
In February, however, VivoPower raised $30 million through a strategic PIPE deal, which included participation from Blue Sky Capital and sovereign family offices from the Gulf Cooperation Council (GCC).
The investment was structured as convertible preference shares priced at $6.80 with a 6% annual coupon. The company said the proceeds will be used to expand its AI data center portfolio and support working capital, as it positions itself in the growing global AI compute market.
How Did Stocktwits Users React?
Retail sentiment on Stocktwits remained ‘bearish’ over the past 24 hours.
Chatter was mixed, with one user calling the update a “momentum catalyst, not a fundamentals changer.”
Another user expects the stock to climb to $10. It is currently trading around $2.5.
Year-to-date, the stock has gained 7%.
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