The Archer Materials Ltd (ASX: AXE) share price has bolted out of the gates in today’s session.
Despite not releasing any news, shares in the high-tech materials company are flying more than 7% higher.
Let’s take a look at why investors may be bidding the Archer Materials share price higher today.
What’s moving shares in Archer Materials?
Archer Materials hasn’t released any price-sensitive news that could explain today’s bullish price action.
However, the company did release an update yesterday regarding the sale of its mineral exploration business to iTech Minerals Ltd.
Archer has agreed to sell its mineral exploration business to iTech, in return for 50 million iTech shares.
These shares will be distributed to Archer shareholders and are subject to iTech completing its initial public offering (IPO).
According to yesterday’s announcement, iTech has opened its IPO today and is expected to list on the ASX in late October.
As a result, the Archer Materials share price could be on the receiving end of more investor interest today.
Other than that, the last time Archer Materials released any price-moving updates was late last month.
Patent issues plague Archer share price
Late last month, shares in Archer Materials came under pressure following media speculations regarding its patent application in Australia.
The company rejected the accusations made against its CQ quantum computer chip patent.
Despite the company refuting the claims, shares in Archer tanked more than 15% on the day.
As a result, today’s bullish price action could be investors snapping up shares in the materials company after its fall.
Snapshot of the Archer Materials share price
Archer is a technology company that operates within the semiconductor industry.
The company has a vast pipeline of semiconductor devices that are in various developmental and commercialisation stages.
Shares in Archer Materials recently rocketed to a record high of $3.08 last month, following a patent update.
Since hitting those record highs, shares in Archer have nearly halved.
Despite the sell-off, the Archer share price remains more than 232% higher since the start of 2021.
At the time of writing, shares in Archer are trading more than 4% higher for the day.
Shares in the company were up more than 7% earlier, after hitting an intra-day high of $1.76.