Guardion Health Sciences, Inc. (NASDAQ:GHSI) shares are trading higher Wednesday after the company announced it has signed an equity purchase agreement to sell its Activ Nutritional, LLC subsidiary, which owns the Viactiv brand and business.

The Details:

After the market close on Tuesday, Guardion announced it had signed an equity purchase agreement to sell its Activ Nutritional subsidiary to Doctor's Best Inc., a wholly-owned subsidiary of Kingdomway USA Corp., for gross cash consideration of $17.2 million, payable in full at closing.

If approved by stockholders, the deal is expected to close during the quarter ending June 30, 2024.

"We are pleased to be selling our Activ Nutritional, LLC subsidiary and Viactiv brand dietary supplements business to Doctor's Best, which is committed to leveraging its global scale under parent company Kingdomway to drive growth of the product line in the United States and internationally," said Jan Hall, CEO of Guardion Health Sciences.

Guardion shares are moving on heavy trading volume with more than 9.48 million shares already traded in the session. According to data from Benzinga Pro, the stock has a 100-day average volume of less than 4,800 and a float of just over one million shares.

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GHSI Price Action: Guardion Health Sciences shares are up 50% at $8.05 at the time of publication.

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