Aureus Greenway Holdings Inc. Announces Pricing of Initial Public Offering and Listing on the Nasdaq Capital Market

Rhea-AI Summary

Aureus Greenway Holdings (NASDAQ: AGH), a Florida-based golf country club operator, has announced the pricing of its initial public offering of 3,750,000 common stock shares at $4.00 per share, targeting $15 million in gross proceeds before deductions. The offering comprises 3,000,000 shares from the company and 750,000 from selling stockholders.

Trading is set to commence on the Nasdaq Capital Market on February 12, 2025, under the symbol 'AGH', with the offering expected to close on February 13, 2025. Dominari Securities leads the underwriting, with Revere Securities as co-underwriter. The offering follows SEC registration approval via Form S-1 and subsequent amendments.

Positive

• IPO will raise $12 million in gross proceeds for the company
• Secured listing on Nasdaq Capital Market
• Firm commitment basis offering indicates strong underwriter confidence

Negative

• 20% of IPO shares (750,000) are from selling stockholders, indicating insider selling
• Company receives no proceeds from selling stockholders' portion
• Relatively small IPO size may impact stock liquidity

Insights

IPO & Capital Markets Specialist

This IPO represents a strategic yet modest market entry for Aureus Greenway Holdings, with several noteworthy aspects for investors to consider. The $4.00 per share pricing and total raise of $15 million positions this as a micro-cap offering, typical for the Nasdaq Capital Market, which often hosts emerging growth companies.

The structure of the offering reveals important insights: the company will receive approximately $12 million in gross proceeds from its 3 million share offering, while existing shareholders are taking a partial exit through the sale of 750,000 shares. This split suggests a balanced approach between raising growth capital and providing early investor liquidity.

The choice of Dominari Securities and Revere Securities as underwriters, rather than bulge bracket firms, aligns with the offering's size but may impact initial trading liquidity and institutional investor participation. The multiple amendments to the S-1 filing (five in total) between November 2024 and January 2025 suggest a thorough regulatory review process and possible adjustments to the offering terms to meet market conditions.

The timing of this IPO is particularly interesting given Florida's robust real estate market and the growing interest in leisure and lifestyle businesses post-pandemic. As an operator of daily fee golf country clubs, Aureus Greenway is positioned to capitalize on Florida's demographic trends, including population growth and increasing retirement community development.

However, investors should note that the relatively small offering size may limit institutional participation and could result in higher stock price volatility. The company's focus on the Florida market, while providing operational concentration benefits, also exposes it to regional economic and weather-related risks.

Kissimmee, FL, Feb. 11, 2025 (GLOBE NEWSWIRE) -- Aureus Greenway Holdings Inc. (the “Company”) (NASDAQ: AGH), an owner and operator of daily fee golf country clubs in the state of Florida, announced today the pricing of its initial public offering (the “Offering”) of 3,750,000 shares of its common stock at public offering price of $4.00 per share to the public, for a total of $15,000,000 of gross proceeds, before deducting underwriting discounts and other offering expenses. The Company is offering 3,000,000 shares of common stock and certain selling stockholders are offering in aggregate 750,000 shares of common stock. The Company will not receive any proceeds from any sale of shares by the selling stockholders.

The shares of common stock of the Company are expected to begin trading on the Nasdaq Capital Market on February 12, 2025, under the ticker symbol “AGH.” The Offering is expected to close on February 13, 2025, subject to the satisfaction of customary closing conditions.

The Offering is being conducted on a firm commitment basis. Dominari Securities, LLC is acting as lead underwriter, with Revere Securities LLC acting as the co-underwriter. Ortoli Rosenstadt LLP is acting as U.S. securities counsel to the Company, and Sichenzia Ross Ference Carmel LLP is acting as U.S. securities counsel to the underwriters, in connection with the Offering.

A registration statement on Form S-1 relating to the Offering was filed with the U.S. Securities and Exchange Commission (the “SEC”) (File Number: 333- 280340), as amended, and was declared effective by the SEC on November 12, 2024. Subsequently, the Company filed post-effective amendments Nos. 1, 2, 3, 4, and 5 to the S-1 on December 19, 2024, January 3, 2025, January 3, 2025, January 10, 2025 and January 13, 2025 respectively; the post-effective amendment No.5 was declared effective by the SEC on February 10, 2025. The Offering is being made only by means of a prospectus, forming a part of the registration statement. Copies of the final prospectus relating to the Offering, when available, may be obtained from Dominari Securities LLC by email at info@dominarisecurities.com, by standard mail to Dominari Securities LLC, 725 Fifth Avenue, 23rd Floor, New York, NY 10022, or by calling (212) 393-4500. In addition, copies of the final prospectus relating to the Offering, when available, may be obtained via the SEC’s website at www.sec.gov.

Before you invest, you should read the prospectus and other documents the Company has filed or will file with the SEC for more information about the Company and the Offering. This press release has been prepared for informational purposes only and shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Aureus Greenway Holdings Inc.
Aureus Greenway Holdings Inc. owns and operates daily fee golf country clubs in the state of Florida that are designed to appeal to a wide-ranging population. The combination of our strategic locations and approachable golf-courses attracts both local and tourist demographics, allowing us to offer a variety of golf experiences while capturing a broad share of discretionary leisure spending. For more information, please visit our website at www.aureusgreenway.com.

Forward-Looking Statements
This press release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as “may, “will, “intend,” “should,” “believe,” “expect,” “anticipate,” “project,” “estimate” or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. These forward-looking statements include, without limitation, the Company's statements regarding the expected trading of its common stock on the Nasdaq Capital Market and the closing of the Offering. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions and the completion of the initial public offering on the anticipated terms or at all, and other factors discussed in the “Risk Factors” section of the registration statement filed with the SEC. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

Investor Relations Contact:
Matthew Abenante, IRC
President
Strategic Investor Relations, LLC
Tel: 347-947-2093
Email: matthew@strategic-ir.com

FAQ

What is the IPO price and total value of AGH's public offering?

AGH's IPO is priced at $4.00 per share for 3,750,000 shares, totaling $15 million in gross proceeds before deducting underwriting discounts and other expenses.

When will AGH stock begin trading on Nasdaq?

AGH stock is scheduled to begin trading on the Nasdaq Capital Market on February 12, 2025.

How many shares is AGH offering in its IPO?

AGH is offering 3,000,000 shares directly from the company, while selling stockholders are offering an additional 750,000 shares, totaling 3,750,000 shares.

Who are the underwriters for AGH's IPO?

Dominari Securities is acting as lead underwriter, with Revere Securities serving as co-underwriter for the IPO.

What will AGH use the IPO proceeds for?

While the company will receive proceeds from 3,000,000 shares ($12 million before expenses), the specific use of proceeds is not detailed in the press release.