Why Is Trio Petroleum (TPET) Stock Down 22% Today?

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Trio Petroleum (NYSEMKT:TPET) stock is falling on Wednesday after the oil and gas exploration and development company announced new financing agreements.

The first one announced by Trio Petroleum is a securities purchase agreement with an institutional investor. This saw it gain net proceeds of $310,000 from this investor. In exchange, the investor secured another 750,000 shares of TPET stock.

To go along with that, the institutional investor was granted piggy-back registration rights. That covers the resale of the Commitment Shares and the Conversion Shares.

Adding to this is Trio Petroleum issuing a Senior Secured Note to the institutional investor. This has a principal amount of $400,000 and the maturity date is Aug. 16, 2024. They can also take part in future financing for 18 months or until the Investor Note is repaid.

TPET Stock Movement on Wednesday

News of the securities purchase agreement and Senior Secured Note aren’t going over well with traders today. As a result, the company’s shares are down 21.6% as of Wednesday morning. However, the stock was up 52.5% year-to-date when markets closed yesterday.

With this news comes some 5.4 million shares of TPET stock changing hands. That’s still well below its daily average trading volume of about 18.6 million shares.

Investors who are seeking out even more of the most recent stock market stories today are in luck!

We have all of the hottest stock market news that traders need to know about on Wednesday! That includes everything happening with shares of Trilogy Metals (NYSEMKT:TMQ) stock, Vanda Pharmaceuticals (NASDAQ:VNDA) stock and Invo Bioscience (NASDAQ:INVO) stock today. You can read up on all of these matters by checking out the links below!

More Stock Market News for Wednesday

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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

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