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Tsubota Laboratory hits record low on dilution concerns from stock warrant issuance
Shares of Tsubota Laboratory Incorporated <4890> plunged for a second straight session to hit an all-time low on Tuesday. The sell-off was triggered by the company's announcement after the close on Monday, June 1, regarding the issuance of its 8th, 9th, and 10th series of stock acquisition rights with exercise price reset options via a third-party allotment. The issuance comprises 59,046 warrants representing 5,904,600 potential shares, resulting in a maximum dilution rate of 22.90% on a voting-rights basis. Net proceeds of approximately 1.99 billion yen will be allocated to clinical trials and strategic investments, though concerns over impending equity dilution fueled intense selling pressure.
Separately, Tsubota Lab announced the acquisition of all outstanding shares of Tokyo-based Mediproduce, a medical event planning and management services provider, turning it into a wholly owned subsidiary. The acquisition aims to diversify the company's revenue streams and enhance medium- to long-term corporate value.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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