Zhongchao Inc. Raises $4.64M from Share Sale
Ticker: ZCMD · Form: 6-K · Filed: Oct 2, 2024 · CIK: 1785566
| Field | Detail |
|---|---|
| Company | Zhongchao Inc. (ZCMD) |
| Form Type | 6-K |
| Filed Date | Oct 2, 2024 |
| Risk Level | medium |
| Pages | 2 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.001, $0.30, $928,200 |
| Sentiment | neutral |
Sentiment: neutral
Topics: share-sale, capital-raise, foreign-private-issuer
TL;DR
Zhongchao Inc. sold 3.09M shares for $4.64M on Oct 1st. Cash infusion incoming.
AI Summary
On October 1, 2024, Zhongchao Inc. entered into securities purchase agreements to issue and sell 3,094,000 Class A ordinary shares at a price of $1.50 per share, raising approximately $4.64 million before expenses. The company is a foreign private issuer based in Shanghai, China, and operates in educational services.
Why It Matters
This capital raise provides Zhongchao Inc. with additional funds, potentially for operational expansion or strategic initiatives, which could impact its future growth and market position.
Risk Assessment
Risk Level: medium — The company is a foreign private issuer, and the share sale indicates a need for capital, which could signal underlying financial pressures or growth opportunities.
Key Numbers
- $4.64M — Gross Proceeds (Raised from the sale of 3,094,000 Class A ordinary shares on October 1, 2024.)
- 3,094,000 — Shares Sold (Class A ordinary shares issued and sold to investors.)
- $1.50 — Price Per Share (The price at which each Class A ordinary share was sold.)
Key Players & Entities
- Zhongchao Inc. (company) — Filer and issuer of shares
- October 1, 2024 (date) — Date of securities purchase agreements
- 3,094,000 (dollar_amount) — Number of Class A ordinary shares to be issued
- $1.50 (dollar_amount) — Price per Class A ordinary share
- $4.64 million (dollar_amount) — Approximate gross proceeds from the share sale
FAQ
What is the total number of Class A ordinary shares Zhongchao Inc. agreed to issue?
Zhongchao Inc. agreed to issue 3,094,000 Class A ordinary shares.
What was the price per share for the Class A ordinary shares sold?
The Class A ordinary shares were sold at a price of $1.50 per share.
What is the approximate gross amount raised by Zhongchao Inc. from this share sale?
Zhongchao Inc. raised approximately $4.64 million before expenses.
On what date did Zhongchao Inc. enter into the securities purchase agreements?
The Company entered into the securities purchase agreements on October 1, 2024.
What type of securities did Zhongchao Inc. issue in this transaction?
Zhongchao Inc. issued Class A ordinary shares, par value $0.001 per share.
Filing Stats: 608 words · 2 min read · ~2 pages · Grade level 12.6 · Accepted 2024-10-02 17:25:11
Key Financial Figures
- $0.001 — ,000 Class A ordinary shares, par value $0.001 per share, in the aggregate (the &ldqu
- $0.30 — e Shares to the investors at a price of $0.30 per Share, generating the gross proceed
- $928,200 — s to the Company in the total amount of $928,200. The Company did not retained an underw
Filing Documents
- ea0216459-6k_zhongchao.htm (6-K) — 16KB
- ea021645901ex5-1_zhongchao.htm (EX-5.1) — 52KB
- ea021645901ex10-1_zhongchao.htm (EX-10.1) — 65KB
- ex5-1_001.jpg (GRAPHIC) — 2KB
- 0001213900-24-084728.txt ( ) — 137KB
Forward Looking Statements
Forward Looking Statements in this Report on Form 6-K regarding matters that are not historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may involve risks and uncertainties, such as statements related to the anticipated closing of the Offering and the amount of proceeds expected from the Offering. Exhibits Exhibit No. Description 5.1 Opinion of Ogier (Cayman) LLP 10.1 Form of Securities Purchase Agreement, dated October 1, 2024 23.1 Consent of Ogier (Cayman) LLP (included in Exhibit 5.1) 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) 1
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Zhongchao Inc. Date: October 2, 2024 By: /s/ Weiguang Yang Weiguang Yang Chief Executive Officer 2