The market has been pushing higher again on Wednesday and almost all sectors are currently in the black.
Three shares at the small end of the market that have stood out today with strong gains are listed below. Here's why they are pushing higher:
The Biotron Limited (ASX: BIT) share price has surged 11% higher to 27.2 cents. This morning the drug development company announced that it has entered into an option underwriting agreement with CPS Capital. The agreement will see CPS Capital underwrite any shortfall arising from 78,429,130 listed options that expire on November 30 and exercisable at 6 cents. This will ensure that approximately $4.7 million will be added to the company's balance sheet in the short term. Management believes this puts it in a good financial position as it focuses on achieving a commercial outcome following the successful results of the phase 2 clinical trial of its lead BIT225 drug for the treatment of HIV-1.
The Creso Pharma Ltd (ASX: CPH) share price has pushed 5.5% to 58.5 cents. Later today Canada will become the first of the G7 countries to legalise cannabis for recreational use. According to an announcement out of the cannabis company, management believes it is well-positioned to benefit from the regulations change. It advised that: "Creso remains the only company listed on the Australian Securities Exchange that owns a cannabis facility in Canada and that will be able to reap the benefits of being able to supply this growing market." It is likely to be an incredibly competitive market, so I would suggest investors wait to see how the company fares over the next 12 months.
The Freelancer Ltd (ASX: FLN) share price has continued climbing higher and is up a further 6% to 61 cents. On Tuesday the global crowdsourcing marketplace operator released its third quarter update and revealed a 4% rise in cash receipts to $13 million. This was driven by a 12% increase in Gross Marketplace Volume to $32 million and an increase in registered users to above 30 million. Incidentally, UBS has retained its neutral rating and 53 cents price target on Freelancer's shares this morning, which could be an indication that its shares have now peaked.
