StockerYale stock deal nets $4m
StockerYale has all but given away more than 642,857 shares of stock to obtain $4 million in revolving credit over the next three years.
The Salem-based provider of photonics-based products revealed last week in a filing with the Securities and Exchange Commission that on June 28 it sold the stock – worth more than $1.18 per share – for a tenth of a cent per share to Laurus Master Fund Ltd. In the days following the filing, the stock price went down sharply, closing at $1.03 on Friday.
Laurus, in turn, agreed to a line of credit limited to a certain extent by the company reserves, its inventory and the accounts at a rate of 1 percent above prime.
StockerYale used the $1.4 million of the credit immediately to pay off a loan to the National Bank of Canada.
The company has been losing money each quarter and has been strapped for cash, but sales have been increasing. – BOB SANDERS