To be clear, I have zero idea where the share price goes after the deal closes.  One can argue that the $4 deal price is now a floor...after all, the company is now financed till top line data comes out...so on purely fundamental grounds, the stock should not trade below $4 (as the implied price from warrants).

On the other hand, $4 can also be a technical ceiling, as now there are built in profits for anyone wanting to flip whenever it goes above $4.  And 4 million shares is a lot of temptation for a stock that only trades 150k shares a day.

I simply don't know.  I tossed it out so someone could explain what happens in Canadian deals...KISS could really be the best explanation!