Akoustis Announces $10 Million Registered Direct Offering Priced At-The-Market Under Nasdaq Rules
Akoustis Technologies (Nasdaq: AKTS), a producer of high-band RF filters, announced a $10 million registered direct offering. This involves the sale of 50,000,000 shares at $0.20 each. Expected to close on May 24, 2024, the offering adheres to Nasdaq rules and will be handled by Roth Capital Partners. Gross proceeds are estimated at $10 million before fees. The funds will be used for working capital and operations. The offering is based on a previously filed and effective Form S-3 registration with the SEC. Interested parties can obtain prospectus details from the SEC or Roth Capital Partners.
- Akoustis Technologies to raise $10 million through direct offering.
- Shares priced at market rate under Nasdaq rules.
- Funds to be used for working capital and operational costs.
- Offering managed by Roth Capital Partners, providing credibility.
- Effective registration statement already filed with SEC.
- Significant shareholder dilution with issuance of 50,000,000 new shares.
- Low purchase price of $0.20 per share may indicate undervaluation.
- Gross proceeds figure does not account for placement agent fees and expenses.
- Dependence on closing conditions which could delay or alter the offering.
Akoustis Technologies’ announcement of a
The offering price of
From a financial perspective, the proceeds will provide the necessary funds for the company’s ongoing projects and possibly support its growth initiatives in the high-band RF filter market. However, the balance between raising required funds and causing dilution is delicate. Investors should monitor how efficiently the company uses these funds for operational needs and growth initiatives and whether it can deliver value in the long term despite the immediate dilution effect.
From a market perspective, the
Given that Akoustis is focused on the high-band RF filter market, which has significant growth potential due to increasing demand in mobile and wireless applications, this infusion of capital may help the company accelerate development and production. The market generally views such offerings positively if the capital is deployed effectively to capitalize on emerging opportunities and technological advancements, which can enhance the company's competitive position.
However, the key for investors will be to evaluate the execution of the company’s strategy post-offering. If the funds are used effectively for growth and innovation, it could result in a positive long-term outcome. Investors should watch future financial reporting for signs of effective capital utilization and resultant growth in market share or technological command.
Charlotte, N.C., May 22, 2024 (GLOBE NEWSWIRE) -- Akoustis Technologies, Inc. (Nasdaq: AKTS) (“Akoustis” or the “Company”), an integrated device manufacturer (IDM) of patented bulk acoustic wave (BAW) high-band RF filters for mobile and other wireless applications, announced today that it has entered into definitive securities purchase agreements for the purchase and sale of an aggregate of 50,000,000 shares of the Company’s common stock (or common stock equivalents) at a purchase price of
Roth Capital Partners is acting as the exclusive placement agent for the offering.
Akoustis expects the gross proceeds from the offering to be approximately
A shelf registration statement on Form S-3 (File No. 333-262540) relating to the shares of common stock (and common stock equivalents) to be issued in the offering was previously filed with the Securities and Exchange Commission (the “SEC”) and is currently effective. The offering is being made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement, relating to the offering that will be filed with the SEC. Electronic copies of the final prospectus supplement and accompanying prospectus may be obtained, when available, on the SEC’s website at http://www.sec.gov or by contacting Roth Capital Partners, LLC at 888 San Clemente Drive, Newport Beach CA 92660, by phone at (800) 678-9147 or by email at rothecm@roth.com.
This press release does not constitute an offer to sell, or the solicitation of an offer to buy, the shares of common stock (or common stock equivalents), nor will there be any sale of the shares of common stock (or common stock equivalents) in any state or other jurisdiction in which such offer, solicitation or sale is not permitted.
About Akoustis Technologies, Inc.
Akoustis® (http://www.akoustis.com) is a high-tech BAW RF filter solutions company that is pioneering next-generation materials science and MEMS wafer manufacturing to address the market requirements for improved RF filters ‒ targeting higher bandwidth, higher operating frequencies and higher output power compared to legacy polycrystalline BAW technology. The Company utilizes its proprietary and patented XBAW® manufacturing process to produce bulk acoustic wave RF filters for mobile and other wireless markets, which facilitate signal acquisition and accelerate band performance between the antenna and digital back end. Superior performance is driven by the significant advances of poly-crystal, single-crystal, and other high purity piezoelectric materials and the resonator-filter process technology which enables optimal trade-offs between critical power, frequency and bandwidth performance specifications.
Akoustis plans to service the fast growing multi-billion-dollar RF filter market using its integrated device manufacturer (IDM) business model. The Company owns and operates a 125,000 sq. ft. ISO-9001:2015 registered commercial wafer-manufacturing facility located in Canandaigua, NY, which includes a class 100 / class 1000 cleanroom facility — tooled for 150 mm diameter wafers ‒ for the design, development, fabrication and packaging of RF filters, MEMS and other semiconductor devices. Akoustis Technologies, Inc. is headquartered in the Piedmont technology corridor near Charlotte, North Carolina.
Forward-Looking Statements
This document includes “forward-looking statements” within the meaning of Section 27A of the Securities Act, and Section 21E of the Securities Exchange Act of 1934, each as amended, that are intended to be covered by the “safe harbor” created by those sections. These forward-looking statements include, but are not limited to, statements regarding the public offering of common stock and the intended use of the net proceeds of such public offering. Forward-looking statements include all statements that are not historical facts and typically are identified by use of terms such as “may,” “might,” “would,” “will,” “should,” “could,” “project,” “expect,” “plan,” “strategy,” “anticipate,” “attempt,” “develop,” “help,” “believe,” “think,” “estimate,” “predict,” “intend,” “forecast,” “seek,” “potential,” “possible,” “continue,” “future,” and similar words (including the negative of any of the foregoing), although some forward-looking statements are expressed differently. Forward-looking statements are neither historical facts nor assurances of future results, performance, events or circumstances. Instead, these forward-looking statements are based on management’s current beliefs, expectations and assumptions, and are subject to risks and uncertainties. Factors that could cause actual results to differ materially from those currently anticipated include, without limitation, risks relating to our inability to obtain adequate financing and sustain our status as a going concern; our limited operating history; our inability to generate revenues or achieve profitability; the results of our research and development activities; our inability to achieve acceptance of our products in the market; the failure of our common stock to meet the minimum requirements for continued listing on the Nasdaq Capital Market; the possibility that the anticipated benefits from business acquisitions will not be realized in full or at all or may take longer to realize than expected; the possibility that costs or difficulties related to the integration of acquired businesses’ operations will be greater than expected and the possibility of disruptions to our business during integration efforts and strain on management time and resources; the impact of a pandemic or epidemic or a natural disaster, including the COVID-19 pandemic, the Russian-Ukrainian and Middle East conflicts and other sources of volatility on our operations, financial condition and the worldwide economy, including its impact on our ability to access the capital markets; increases in prices for raw materials, labor, and fuel caused by rising inflation; general economic conditions, including upturns and downturns in the industry; shortages in supplies needed to manufacture our products, or needed by our customers to manufacture devices incorporating our products; our limited number of patents; failure to obtain, maintain, and enforce our intellectual property rights; claims of infringement, misappropriation or misuse of third party intellectual property, including the lawsuit filed by Qorvo, Inc. in October 2021, that, regardless of merit, has resulted in significant expense and a judgment against us for approximately
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