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Greenwave Tech Solutions (NASDAQ: GWAV) is currently witnessing a sharp decline today following the distribution of warrant exercise inducement letters to its holders.
These letters authorize the holders to exercise their warrants at $0.204 per share in return for shares of GWAV stock along with additional warrants.
The existing warrants permit the acquisition of up to 16,147,852 shares of GWAV stock. If exercised, new warrants will cover up to 32,295,704 shares of the company’s stock.
Furthermore, the company has obtained approval from specific Senior Secured Convertible Notes to defer their subsequent four Amortization Amount rights, aligning them with the notes’ maturity date.
The Impact on GWAV Stock Today
The exercise price of the warrants, set significantly lower than the prior closing price of 37 cents, has led to the current plummet in GWAV stock value.
This development has triggered a surge in GWAV stock trading activity, with over 3 million shares exchanged, exceeding the typical daily volume of approximately 379,000 shares.
As of Tuesday morning, GWAV stock has tumbled by 53.2%, further aggravating its year-to-date decline of 37.8% by the previous market close.
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Additional Tuesday Stock Market Insights
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On the publication date, William White held no positions (directly or indirectly) in the securities discussed. The opinions expressed herein are solely those of the author, adhering to the InvestorPlace.com Publishing Guidelines.
