Hyperscale Data Inc. (AMEX:GPUS) shares gained 20.56% to $0.15 in after-hours trading on Thursday after the AI data center company suspended its at-the-market (ATM) stock offering.
The company said it halted sales under its June 18 Issuance Sales Agreement with Spartan Capital Securities, LLC, which acts as sales agent. The agreement was amended on Oct. 9.
What the ATM Suspension Means
An ATM program lets a company sell new shares gradually into the market at prevailing prices. It raises cash but increases the share count, which dilutes existing shareholders.
Under the program, Hyperscale Data sold about 127.2 million Class A common shares. It raised roughly $50.6 million in gross proceeds, or about $0.3975 per share, the company said.
By pausing sales, the company removes a steady source of new supply for now. It said it “may evaluate capital markets options in the future” but gave no timeline.
Preferred Dividends
Separately, on Tuesday, the Nevada-based company said its board declared monthly cash dividends on two preferred stock series:
- 13.00% Series D: $0.2708333 per share
- 10.00% Series E: $0.20833 per share
Both are payable Nov. 10 to holders of record as of Oct. 31.
Trading Metrics, Technical Analysis
Hyperscale Data has a market capitalization of about $21.43 million. Over the past 52 weeks, its stock has traded as high as $3.45 and as low as $0.1253.
GPUS has a Relative Strength Index (RSI) of 26.86.
Over the past 12 months, the small-cap stock has fallen 93.54%.
Price Action: Shares closed on Thursday at $0.126, down 8.03%, according to Benzinga Pro data.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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