SSI (SSII)
Published 2026-03-16 • by yetanothervalueblog
Thesis Summary
A highly unusual capital raise where insiders, external investors, and broker-intermediated investors acquired stock at wildly different effective prices (ranging from $4.00 down to ~$2.60).
Quantitative Overlay
Detailed Deep Dive
SSII had one of the most interesting raises I’ve ever seen earlier this month. They raised $18.6m from two different sets of investors:
* Three insiders (the Chair / CEO, Vice Chair, and a director) bought ~$5.2m of stock at $4/share
* External investors bought $13.4m of stock at $3/share.
However, the external investors could be further segmented, as one of the investors who invested ~$2.5m was brought in by a “FINRA member”, and SSII paid the FINRA member a 7% commission ($175k) plus issued them ~42k 5 year warrants to buy SSI stock at $3.45/share. In 2024, SSI assumed ~25% volatility for their stock options; that seems low to me, but if we use that on the warrants SSII issued they’re worth another ~$100k. So I think you could argue SSII paid ~$275k all in for that $2.5m investment, and thus the net price to them was closer to $2.60/share.
So you’ve got one raise that has three wildly different prices:
* SSII got $4/share from insiders
* SSII got $3/share from most outsiders
* SSII got ~$2.60/share from outsiders brought in by the FINRA firm after you account for fees.
In one transaction, SSII’s stock was worth >50% more from one set of buyers than from another. Crazy!