Everbright Digital Holding Limited Announces Pricing of Initial Public Offering

Rhea-AI Summary

Everbright Digital Holding, a Hong Kong-based integrated marketing solutions provider, has announced the pricing of its Initial Public Offering (IPO) on the Nasdaq Capital Market under the symbol EDHL.

The company is offering 1,500,000 ordinary shares at $4.00 per share, aiming to raise $6.0 million in gross proceeds. Trading is expected to commence on April 17, 2025. The underwriters have a 45-day option to purchase an additional 225,000 shares.

The IPO proceeds will fund marketing and business expansion, core technology R&D, overseas business development, talent acquisition, and working capital. Dominari Securities is leading the underwriting, with Revere Securities as co-underwriter. The offering is expected to close around April 21, 2025.

Positive

• IPO will provide $6.0 million in fresh capital for business expansion
• Nasdaq Capital Market listing enhances company visibility and credibility
• Multiple growth initiatives planned with IPO proceeds
• Firm commitment underwriting structure provides deal certainty

Negative

• Relatively small IPO size of $6.0 million may limit growth potential
• Potential dilution from underwriter's option for additional 225,000 shares
• Company will face increased regulatory and compliance costs as a public company

Insights

Financial Markets Analyst

Everbright's small $6M IPO indicates scale, with modest pricing suggesting cautious market positioning for this Hong Kong marketing solutions provider.

Everbright Digital Holding has announced a $6 million initial public offering, pricing 1.5 million shares at $4.00 each. The company will list on the Nasdaq Capital Market under ticker "EDHL" beginning April 17, with trading expected to commence tomorrow.

This IPO is notably small by current market standards. The $6 million raise suggests either a very early-stage company or one with operational scope in the integrated marketing solutions space. For context, the average IPO size on Nasdaq typically ranges from $50-100 million, placing this offering in the micro-cap category.

The underwriting arrangement further signals the modest scale of this offering. Rather than major investment banks, Everbright has engaged Dominari Securities and Revere Securities as underwriters—smaller firms that typically handle lower-profile offerings. This could impact post-IPO analyst coverage and trading liquidity.

The pricing at $4.00 places the shares at the lower end of typical IPO pricing, potentially indicating cautious positioning to ensure successful placement. Without disclosed revenue figures or profitability metrics in this announcement, investors would need to carefully review the full prospectus to assess valuation relative to fundamentals.

The company's stated use of proceeds follows standard language for growth-stage businesses, directing funds toward marketing, R&D, business expansion, and working capital. As a Hong Kong-headquartered business listing on a U.S. exchange, Everbright represents the continuing trend of Asian companies accessing American capital markets despite heightened regulatory scrutiny in recent years.

HONG KONG, April 16, 2025 (GLOBE NEWSWIRE) -- Everbright Digital Holding Limited (the “Company” or “Everbright”), an integrated marketing solutions provider headquartered in Hong Kong, today announced the pricing of its initial public offering (the “Offering”) of 1,500,000 ordinary shares, par value US$0.00004 per share (the “Ordinary Shares”), at a public offering price of US$4.00 per ordinary share. The ordinary shares have been approved for listing on the Nasdaq Capital Market and are expected to commence trading on April 17, 2025, U.S. Eastern time, under the ticker symbol “EDHL.”

The Company expects to receive aggregate gross proceeds of US$6.0 million from the sale of Ordinary Shares offered by the Company in the Offering, before deducting underwriting discounts and other related expenses. In addition, the Company has granted the underwriters a 45-day option to purchase up to an additional 225,000 ordinary shares at the public offering price, less underwriting discounts. The Offering is expected to close on or about April 21, 2025, subject to the satisfaction of customary closing conditions.

Net proceeds from the Offering will be used by the Company for marketing and business expansion, continued research and development of our core technologies, business development overseas, talent acquisition and training, as well as for general working capital and corporate purposes.

The Offering is being conducted on a firm commitment basis. Dominari Securities LLC is acting as the lead underwriter and Revere Securities LLC is acting as co-underwriter for the Offering. Pacific Century Securities, LLC is acting as an advisor to the Company. Ortoli Rosenstadt LLP is acting as U.S. counsel to the Company, and Hunter Taubman Fischer & Li LLC is acting as U.S. counsel to the underwriters in connection with the Offering.

A registration statement on Form F-1 relating to the Offering was filed with the U.S. Securities and Exchange Commission (the “SEC”) (File Number: 333-285191), as amended, and was declared effective by the SEC on March 31, 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 does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company’s securities, nor shall there be any offer, solicitation or sale of any of the Company’s 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 such state or jurisdiction.

About Everbright Digital Holding Limited

Everbright Digital Holding Limited is an integrated marketing solutions provider headquartered in Hong Kong. The Company conducts all operations in Hong Kong through its operating subsidiary, Hong Kong United Metaverse Limited. The Company is an integrated marketing solutions provider in Hong Kong that is deeply involved in the metaverse and related technologies, providing one-stop digital marketing services to support businesses through every stage of their development, including metaverse stimulation, virtual reality (VR) and augmented reality (AR) design and creation, creative event planning and management, IP character creation and social media marketing.

For more information, please visit the Company’s website: https://umeta.hk/.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements, including, but not limited to, the Company’s proposed Offering. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs, including the expectation that the Offering will be successfully completed. Investors can find many (but not all) of these statements by the use of words such as “approximates,” “believes,” “hopes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,” “plans,” “will,” “would,” “should,” “could,” “may” or other similar expressions in this prospectus. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC.

For investor and media inquiries, please contact:

Everbright Digital Holding Limited
Leung Chun Yip, CEO
Email: michael@umeta.hk

FAQ

What is the IPO price and share offering size for Everbright Digital (EDHL)?

Everbright Digital (EDHL) is offering 1,500,000 ordinary shares at $4.00 per share, aiming to raise $6.0 million in gross proceeds.

When will EDHL stock start trading on Nasdaq?

EDHL stock is expected to commence trading on the Nasdaq Capital Market on April 17, 2025.

How will Everbright Digital use its IPO proceeds?

The proceeds will fund marketing, business expansion, core technology R&D, overseas development, talent acquisition, and working capital.

What is the underwriter's option in EDHL's IPO?

Underwriters have a 45-day option to purchase up to an additional 225,000 ordinary shares at the public offering price.

Who are the underwriters for Everbright Digital's IPO?

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