Hexo postpones Q4 earnings release, plans $54 million debt raise

Hexo Corp.

HEXO, +5.41%

on Wednesday postponed the release of its fourth-quarter earnings to Oct. 28 and said it will issue convertible debentures worth C$70 million ($53.5 million) in a private placement. Hexo stock rose 3.8% in midday trading. The stock resumed trading after a halt earlier in the session. Hexo said in a statement that it needs additional time for its full-year financial statements and to handle the financing. The company’s Chief Financial Officer Michael Monahan resigned Oct. 4. Also in October, Hexo issued a revenue warning, withdrawing its fiscal 2020 financial outlook and saying it expected revenue for the quarter to July 31 between C$14.5 million and C$16.5 million. The company scheduled its post-results conference call with analysts for Oct. 29 at 8:30 a.m. Eastern. Hexo shares have lost about 25% this year, contrasting with gains of 20% for the S&P 500 index

SPX, +0.09%.

Go to Source