Sadot Group Inc (NASDAQ:SDOT) shares rose in after-hours trading on Wednesday after the company disclosed agreements to retire approximately $3.36 million of outstanding debt through stock-for-debt settlements. The stock was seen trending at the time of writing.
Sadot Group closed Wednesday’s regular session at $20.31, down 49.23%. In after-hours trading, the stock gained 17.13% to $23.79.
Sadot Group is an emerging player in the global food supply chain, providing agri-commodities trading, food sourcing and logistics services.
Company Retires $3.36 Million Of Debt
According to an 8-K filing, Sadot Group entered into two stock-for-debt settlement agreements dated July 7 to eliminate approximately $3.36 million of outstanding debt without using cash.
Under the first agreement, the company issued 45,000 common shares to Cedar Advance LLC in exchange for the cancellation of approximately $1.88 million in principal and accrued obligations.
Under the second agreement, Sadot issued another 45,000 common shares to Agile Capital Funding and Agile Lending to retire approximately $1.48 million in principal and accrued amounts.
In total, Sadot issued 90,000 common shares, representing about 9% of its outstanding shares after the issuance. The company said the transactions are intended to reduce leverage, preserve cash and strengthen its balance sheet.
Trading Metrics
Sadot Group has a market capitalization of approximately $20.56 million, with a 52-week high of $460.00 and a 52-week low of $2.63.
Over the past 12 months, SDOT shares have declined 92.59%.
Benzinga Edge Stock Rankings indicate SDOT has a positive price trend over the short and medium term, while the long-term price trend remains negative.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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