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      China SXT Pharmaceuticals Inx. (SXTC) on a Bullish Roll Premarket. Here’s why? - Stocks Telegraph

      By Gule Rukhsar

      Published on

      March 18, 2022

      9:22 AM UTC

      China SXT Pharmaceuticals Inx. (SXTC) on a Bullish Roll Premarket. Here’s why? - Stocks Telegraph

      On March 18, China SXT Pharmaceuticals Inc. (SXTC) was trending in the premarket with a gain of 12.53% at the last check. With no official announcement from the company, the stock seems to be responding to external factors including market conditions.

      In the previous trading session on Thursday, the stock remained in the red with a loss of 6.06%. SXTC closed the session at $0.1980 while the volume of the shares traded was 7.36 million. In the premarket session today, the stock rebounded and was trading at a value of $0.2228 per share at the time of writing. The session’s volume was 354.2K shares at the time of writing.

      The holding company, China SXT Pharmaceuticals Inc. Deals in traditional Chinese medicines pieces (TCMP). Founded in 2005, the company has a market capitalization of $5.54 million with 17.85 million outstanding shares.

      What is Happening?

      SXTC stock had been in a downtrend well before the company announced a securities purchase agreement on March 14. The bearish trend in the stock seems to be related to the overall bearish momentum in Chinese stocks due to the Russia-Ukraine conflict. Most Chinese stocks have had a bearish sentiment for the past few weeks due to China’s relationship with Russia. It was only yesterday that reports emerged that the Chinese government has promised its support for economical stability. With a sigh of relief, most Chinese stocks recovered from their bearishness following the reports. Thus, SXTC also seems to have rebounded now that the market situation has improved. Moreover, the continuous downtrend was also expected to result in recovery due to corrections. Another reason that might have contributed is the closing of the offering announced on March 14.

      Source: Wise Geek

      As of now, SXTC seems to be enjoying gains as investors continue to buy its dip on market improvement.

      SXTC’s Securities Purchase Agreement

      On March 14, SXTC announced a securities purchase agreement for issuing a convertible promissory note in the original $2,804,848.0 to Streeterville Capital LLC. Streeterville is a limited liability company in Utah and the 12-month note has an annular interest rate of 6%.

      The offering was expected to close on March 16, 2022, and the company intends to use the net proceeds from it for general corporate purposes.

      SXTC’s Other Recent Developments

      On January 20, the company announced the closing of its underwritten public offering previously announced on January 14. The ordinary shares and pre-funded warrants’ offering closed simultaneously with the overallotment options for gross proceeds of $4.1 million.

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