It's because of the dilution. Shares now represent 60% less of the company. They needed capital, but a $20 million raise seems very excessive especially when the company is trading near lows and has short/medium term catalysts for share appreciation. It probably wasn't their idea, the affiliate of Schneider Brothers probably wanted majority ownership. Not sure why they didn't look for what they needed, which I seriously doubt is $20m when the last two years they have been spending ~500k, and then raise more if necessary after they've furthered their pipeline and built shareholder value.
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