Shares of Universe Pharmaceuticals (UPC) stock were rising today in response to the announcement of the full exercise of Underwriter’s over-allotment option by Univest Securities, LLC for its client Pharmaceuticals INC. UPC stock price saw a push of 28.68% to reach $5.16 a share at the time of this writing. At the previous trading session, UPC stock was red and closed with an 8.24% drop. Let’s deep dive to explore more of it.
Today’s news about the UPC stock explains that Univest Securities, LLC has exercised in full of its Underwriter’s over-allotment option to purchase 750,000 additional shares of its common stock for its client Universe Pharmaceuticals INC. The public offering price for this offering was $5.00 per share and it resulted in the additional gross proceeds worth $3.75 million. Now the total number of sold shares of UPC stock in this offering reached 5.75 million and gross proceeds surged to $28.75 million. Back on March 26, 2021, Univest closed the initial public offering for its client Universe Pharmaceuticals of 5 million shares of its common stock which was previously announced on March 23, 2021.
Use of Proceeds:
UPC stock has the plan to use proceeds from this offering in the advancement of manufacturing facilities as well as for research and development purposes. Part of these proceeds will be used for marketing, branding, general and other cooperate purposes.
About UPC stock:
Universe Pharmaceuticals INC (UPC), a subsidiary of Sununion Holding Group Limited, is the manufacturer, marketer, distributor, and seller of traditional Chinese medicine products in the Republic of China.UPC’s core focus is to cure elders suffering from various chronic diseases. Furthermore, UPC is also the seller of third-party producer’s products including biomedical drugs, medical instruments as well as traditional Chinese medicine products.UPC was founded in 2019 and is in Jiangxi, China.
Investors are responding to the news announced by the UPC stock, but no one knows how long this trend will continue. Proceeds from the offering will help Universe Pharmaceutical in its various operational as well as marketing areas. In a nutshell, investors having long-term prospects need to do analyze UPC fundamentals, balance sheet, and development prospects before adding them to their portfolio.