Shares of Universe Pharmaceuticals Inc (UPC) were soaring in Monday’s pre-market trading session. UPC stock price saw a boom of 83.54% in today’s pre-market to reach $7.47 a share as of this writing. The previous closing price of UPC stock was $4.07 representing a 0.49% gain. Let’s try to figure out the reason behind this bull.
We find no news in today’s date by the UPC stock, no earnings report or analyst upgrades to justify this bull however on March 26, 2021, Univest Securities, LLC did announce the closure of an initial public offering (IPO) for its client Universe Pharmaceuticals Inc.This initial public offering of 5,000,000 ordinary shares was announced by the Universe Securities, LLC on March 23, 2021, at a public price of US$5.00 per ordinary share of the UPC stock.
This IPO resulted in US$25 million in the aggregate gross proceeds without deducting the offering-related expenses and the underwriting discounts. Furthermore, the underwriter has been granted a 45-day option to buy additional 750,000 shares of UPC stock under this public offering. The trading of ordinary shares of UPC stock began on March 23, 2021.
UPC stock Future Plans
Universe stock is planning to make use of these proceeds in various of its operational areas as well as for the growth in its manufacturing facilities. This revenue will help the UPC stock for the advancement in its research and development fields and will support the brand awareness, marketing, and advertisement of the Universe Stock. Some part of this amount will be used for UPC’s working capital and general corporate purposes.
About Universe Pharmaceuticals Inc
Universe Pharmaceuticals INC(UPC), a subsidiary of Sununion Holding Group Limited, is mainly working in the areas of research, development, marketing, and selling of traditional Chinese Medicine products in the Republic of China. Main focus of the UPC is the treatment of chronic diseases in the elders.UPC was founded in 2019 and its headquarter are located in Jiangxi, China.
UPC stock is enjoying the bullish sentiment in the stock market despite the absence of any specific news by the Universe stock.UPC management is well aware of the future goals related to its development and expansion. Hence it is better for investors eyeing UPC stock to perform both technical and fundamental analysis before taking any decision.