Skyline (NASDAQ:SKLN) recently reported \that it was expanding its unit trade offering. This offering from January permits financial specialists who acquired the more established, August 2015, units to trade those units for recently offered units.
In August, Skyline raised $19M by offering 1,666,667 units with every unit comprising of one offer of normal stock, one Series B convertible offer and four Series A warrants. The Series A warrants are exercisable at $4.95/share furthermore incorporated a “cashless” change highlight.
The more up to date units’ Series B warrants had generously comparative components to the old Series A warrants however didn’t have the cashless transformation highlight. The new Series C warrants have an underlying strike price of $2 however that activity cost will drop as the stock drops to another lower exercise cost with a lower point of confinement of $1.00.
The company shares tumble further following a huge decline in its revenue and earnings in the second quarter.
Revenue for the second quarter of 2016 was $85,422, compared with $234,012 for the second quarter of 2015. Revenue was derived solely from sales of disposable products during the second quarter of 2016, compared with sales of both STREAMWAY Systems and disposable products in the second quarter of 2015.
Gross profit for the second quarter of 2016 was $48,656, or 57% of revenue, compared with $150,446, or 64% of revenue, for the same period in 2015.
Total operating expenses for the second quarter of 2016 were $2,609,937, compared with $1,146,558 for the second quarter of 2015. The increase in operating expenses was primarily due to higher general and administrative expenses related to a separation agreement with the former chief executive officer and increased investment banking and other professional expenses.