RGS Energy -10% on private equity offering

|About: RGS Energy, Inc. (RGSE)|By:, SA News Editor

RGS Energy (RGSE) -9.8% premarket after announcing a ~$7M private placement.

RGSE will issue units consisting of an aggregate of ~2.9M shares of its Class A common stock and warrants to purchase up to ~1.3M additional common shares, at $2.40/unit.

Proceeds will be used toward the launch of the company's residential leasing platform and for general working capital purposes, including debt repayment.