The stock price of Planet Green Holdings Corp. (PLAG) has dropped on the charts yesterday, trading at $1.40 at last check after hours after falling by 7.89%. As of Thursday’s close of regular trading, shares of Planet Green were down -0.65% at $1.52. PLAG traded 68692 shares, which is below its average volume over the past three months of 241.21K shares. PLAG stock fluctuated between $1.51 and $1.57 in the regular trading session.

A -0.88 earnings-per-share ratio was reported for PLAG. In the previous five sessions, PLAG stock lost -1.94%, and over the past month, it lost -11.37%, but on a year-to-date basis its value dropped by -31.84%. The 50-day moving average for PLAG of $1.6243 is lower than its 200-day moving average of $2.1184. Furthermore, the PLAG stock currently has a RSI of 40.12. Following a share exchange agreement, the price of PLAG stock dropped.

What agreement has PLAG made?

In China, Planet Green manufactures, produces, and distributes Cyan brick, black, and green tea through subsidiaries. Aside from formaldehyde, urea formaldehyde adhesive, methylal, ethanol fuel, fuel additives, and clean fuel, PLAG engages in research, development, manufacture, and sale of chemical products. PLAG also operates a demand-side platform, allowing buyers of digital advertising inventory to manage a variety of ad exchanges and data transfers by logging into one interface in North America and China.

A Share Exchange Agreement was entered into between Planet Green and Anhui Ansheng Petrochemical Equipment Co., Ltd. (“Target”) and each shareholder of the Target.

• PLAG is supposed to acquire 66% of the Target’s outstanding equity interests under the Share Exchange Agreement.
• PLAG’s Target company invests, researches, develops, and manufactures explosive-proof skid-mounted refueling equipment, LNG cryogenic equipment, and SF double deck oil storage tanks, all of which are sold in China.
• The Share Exchange Agreement between PLAG and Target company provides for the issuance of 4,800,000 shares of common stock of PLAG in exchange for the transfer of 66% of the equity interest of Target company.
• As part of the normal closing conditions associated with transactions of this nature, PLAG expects the transaction to close smoothly.

PLAG’s previous similar move:

Earlier this year, Planet Green entered into a Share Purchase Agreement with three investors. According to the agreement, PLAG has received gross proceeds totaling $7,600,000. A total of 4,000,000 PLAG common shares were issued in exchange for the funds so raised.

This transaction has resulted in a price per share of Planet Green (PLAG) of approximately $1.90. A customary closing condition for a similar transaction applied to that transaction as well.