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The main filing shows that Archer may issue up to $8 million of Class A stock to pay some service firms, as it did in prior deals. In short, Archer is using shares instead of cash to pay bills. The firm said it “will not receive any proceeds” from the stock issue, since the shares will be used to settle sums owed to the holders.
That is not a large deal by size. Based on the stock price of $6.05 cited in the filing, the $8 million share issue would equal about 1.32 million shares. That is small next to Archer’s share count of about 758 million as of the end of March. Still, it adds to the stock base and may be seen as a mild drag for holders.
Meanwhile, ACHR shares dropped 5.62% on Friday, closing at $6.05.
Insider Sales Look Tied to Tax Bills
