New York, Feb 25, 2026, 06:06 EST — Premarket
Shares of XWELL Inc surged roughly 124% to approximately $0.85 in Wednesday’s premarket action, pushing the thinly traded Nasdaq name through another bout of volatility.
XWELL on Tuesday announced it has entered into a securities purchase agreement with a string of American Ventures, LLC, aiming to raise roughly $31.3 million in gross proceeds through a private placement. The offering features Series H convertible preferred stock and warrants, with pricing set “at the market” per Nasdaq requirements, according to XWELL. Net proceeds are earmarked for repurchasing some notes, redeeming its Series G preferred shares, buying back certain outstanding warrants, and covering working capital needs. Dominari Securities is acting as placement agent. GlobeNewswire
The cash on hand stands out here, given XWEL’s equity is minimal at these levels. Shares finished Tuesday at $0.378, a gain of 10.85% from $0.341, putting the company’s market cap near $2.18 million.
The stock popped up on U.S. “unusual volume” trackers following Tuesday’s action—a setup that tends to catch the eye of fast-money traders focused on micro-caps. TradingView
Convertible preferred stock gives holders the option to turn their shares into common stock. Warrants, on the other hand, are contracts that allow holders to purchase shares at a preset price down the line—effectively creating a potential pipeline of new shares into the market.
XWELL runs travel wellness and health operations, with offerings under XpresSpa and XpresCheck, company profile data show. Shares are down about 66% over the last year, so any sizable funding news tends to move the stock sharply.
“Priced at the market” tells some traders the company avoided offering the paper at a hefty discount. Yet plenty will zero in on the deal’s size and terms, running calculations on how fast those new securities might convert to common shares.
Still, the setup that attracts new money isn’t without drawbacks. When a flood of possible new shares looms—warrants priced under the current market, for example—it can drag on a micro-cap’s stock price after that first burst loses steam.
During regular trading, attention turns to whether that premarket surge sticks after the bell—and if the stock finds a stable zone that backs the financing, instead of careening downward.
Looking ahead, the main trigger is the anticipated close of the private placement, targeted for around Feb. 26. Investors will also be watching for any additional disclosures related to the transaction.
