Gevo, Inc. (NASDAQ: GEVO)

Gevo has been an incredibly interesting stock to follow as of late. While the company has an incredible product and has reached several key milestones throughout the year, their financial troubles and lack of communication with investors have proven concerning. Nonetheless, the stock is up big in pre-market trading today. Below, we'll talk about what we're seeing, why, and what we'll be watching for ahead.

What We're Seeing From GEVO

As mentioned above, Gevo is off to what seems to be a strong day in the market today. While the opening bell hasn't yet rung, the stock is enjoying double digit gains. Currently (8:50) GEVO is trading at $0.22 per share after a gain of $0.02 per share (10.24%) thus far today.

Why The Stock Is Gaining

As usual, as soon as one of our alert services pinged us that GEVO was making a run for the top, the CNA Finance team started digging to see exactly what was causing the movement. While it took some digging to find, we believe that we've found the cause for the gains on the stock. At the moment, investors are excited about a recent filing by the company.

In the pre-market hours, investors learned about private exchange agreements that Gevo entered into on December 20th. The agreements were entered into with certain holders of its 7.5% convertible senior notes due 2022. Under the agreement, $1.425 million in 2022 notes will be exchanged for an aggregate of 5,036,641 shares of the company's common stock. This represents a share price of approximately $0.29, a premium of 41% compared to the closing price as of December 20th. This eases investor minds with regard to debt and is leading to gains.

What We'll Be Watching For Ahead

Moving forward, the CNA Finance team will be keeping a close eye on GEVO. In particular, we'll be watching the company's financial position closely. We're also interested in seeing further developments with Musket and other companies that GEVO is working with. We'll keep a close eye on the news and bring it to you as it breaks!

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Hey everyone, I'm Joshua Rodriguez. I'm the founder of CNA Finance as well as several other sites. If you'd like to connect with me, follow me on or Twitter! I'd love to see ya there. Also, if you're looking for top quality content for your blog, news outlet, or any other website for that matter, please reach out to me at! Legal Disclaimer - CNA Finance is NOT an investment advisor. All investment decisions should be well thought out and made with the help of a an investment advisor. For our full legal disclaimer, please scroll to the bottom right of this page.


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