What are the terms and pricing expectations for the private placement, and how might they influence dilution and liquidity of existing shares?

Terms & Pricing Outlook – Although GlobalTech has not disclosed the exact size or price of the transaction, the language used by the company (“milestone aligned with its uplisting objective”) and the involvement of a boutique advisory firm (D. Boral Capital) suggest a classic “qualified institutional placement” (QIP) or a private placement to accredited investors. In comparable OTC‑to‑exchange uplisting deals, issuers price the new securities at roughly 10‑20 % below the prevailing bid price to entice institutional buyers while preserving enough upside for the existing market. With GTLK currently trading in the $2.20–$2.45 range, a plausible price band for the placement would be $1.80–$2.00 per share, possibly with a small warrant or convertible feature to sweeten the deal. The size is likely to be modest—often 5‑10 % of the fully‑diluted share count—to avoid overwhelming the float and to keep the transaction within SEC “private‑placement” thresholds (Rule 506(b) or 506(c)).

Dilution & Liquidity Impact – Issuing new shares at a discount will immediately dilute existing shareholders on a per‑share earnings basis, potentially depressing the price in the short term. However, the capital raised can be used to fund the uplisting process (e.g., filing fees, expanded reporting infrastructure, and working‑capital needs), which historically leads to a substantial increase in liquidity once the company migrates to a national exchange. The placement is also likely to be subject to a lock‑up period (typically 90‑180 days), meaning the new shares will not flood the market immediately, mitigating acute price pressure. In the medium term, a successful uplist should broaden the investor base, improve bid‑ask spreads, and attract higher‑quality institutional capital, offsetting the initial dilution. Traders should watch the upcoming Form 8‑K/Reg D filing for exact pricing, size, and lock‑up terms; a placement priced below $2.00 with a modest size (≈8 % of the float) would be a bearish catalyst for the next 2‑3 weeks, while any indication that the proceeds will be earmarked for a concrete uplisting roadmap could create a buying opportunity for risk‑tolerant investors seeking upside from a future exchange migration.