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SINTX Technologies Announces Pricing of $1.3 Million Public Offering of Common Stock

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SINTX Technologies, Inc. (SINT) announced the pricing of a public offering of 28.4 million shares of common stock at $0.047 per share, aiming to raise $1.3 million for working capital and corporate purposes. The offering is expected to close on March 26, 2024, with Maxim Group as the placement agent.
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  • The offering price of $0.047 per share is significantly lower than the previous market price, potentially diluting existing shareholders' value.
  • The gross proceeds of $1.3 million may not be sufficient for the Company's long-term financial needs, raising concerns about future funding requirements.

The announcement by SINTX Technologies of a public offering at $0.047 per share for a gross proceed of approximately $1.3 million is a strategic move, typically aimed at raising capital to bolster the company's financial position. The low offering price suggests a potential dilution effect for existing shareholders, as it increases the number of shares outstanding without a proportional increase in the value of the company.

Investors should note the offering's timing and size relative to the company's market capitalization. This capital infusion is intended for working capital and general corporate purposes, which could indicate the company's need to fund ongoing operations or pay off existing obligations. The involvement of Maxim Group LLC as the sole placement agent provides an additional layer of credibility to the transaction, potentially attracting institutional investors.

It's important to consider the historical performance of the stock and the company's financial health when evaluating the potential impact of this offering on the stock's future performance. The use of a shelf registration statement suggests a pre-planned financing strategy, which can be seen as both a prepared approach to capital management and a sign of ongoing capital needs.

The advanced ceramics market, where SINTX operates, is known for its high entry barriers and intensive research and development activities. The capital raised could be important for SINTX to maintain a competitive edge in innovation and product development. However, the relatively small amount raised could also signal that the company is not ready to undertake significant expansion or large-scale projects.

Market response to such offerings can be mixed, as investors weigh the potential for future growth against the immediate dilution of their shares. The company's valuation post-offering and the subsequent share price performance will be key indicators of market sentiment. It's also relevant to observe how the raised capital translates into tangible results, such as new product launches or market expansion, which could eventually drive long-term shareholder value.

From a legal perspective, the use of an effective shelf registration statement is a common practice that allows companies to sell securities to the public without the need for a separate registration for each offering. It provides flexibility in timing the market and accessing capital efficiently. Investors should be aware that the final prospectus supplement will contain important details about the offering, including risk factors and specific use of proceeds, which are critical for making informed investment decisions.

Compliance with SEC regulations is mandatory and the involvement of a reputable placement agent helps ensure that the offering process adheres to regulatory standards. Potential investors should also be aware of the legal implications of the 'no offer to sell' disclaimer, which is a standard statement to prevent any premature sale of securities before the completion of the registration process.

SALT LAKE CITY, UT, March 25, 2024 (GLOBE NEWSWIRE) -- SINTX Technologies, Inc. (NASDAQ: SINT) (“SINTX” or the “Company”), an original equipment manufacturer of advanced ceramics, today announced the pricing of its previously announced public offering of 28,400,000 shares of its common stock at a public offering price of $0.047 per share. Gross proceeds from the offering are expected to be approximately $1.3 million before deducting placement agent fees and estimated offering expenses. The offering is expected to close on March 26, 2024, subject to customary closing conditions. SINTX intends to use the net proceeds of the offering, if any, for working capital and general corporate purposes.

Maxim Group LLC is acting as sole placement agent in connection with this offering.

The public offering is being made pursuant to an effective shelf registration statement on Form S-3, as amended (File No. 333-274951), previously filed with the U.S. Securities and Exchange Commission (SEC) on October 12, 2023, as amended, and declared effective on November 27, 2023. A preliminary prospectus supplement and the accompanying prospectus relating to and describing the terms of the public offering have been filed with the SEC. A final prospectus supplement and an accompanying prospectus relating to the offering will be filed with the SEC and will be available on the SEC’s website at www.sec.gov. When available, copies of the final prospectus supplement and accompanying prospectus relating to the public offering may also be obtained by contacting Maxim Group LLC, at 300 Park Avenue, 16th Floor, New York, NY 10022, Attention: Prospectus Department, or by telephone at (212) 895-3745 or by email at syndicate@maximgrp.com.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About SINTX Technologies, Inc.

SINTX Technologies is an advanced ceramics company that develops and commercializes materials, components, and technologies for medical and technical applications. SINTX is a global leader in the research, development, and manufacturing of silicon nitride, and its products have been implanted in humans since 2008. Over the past two years, SINTX has utilized strategic acquisitions and alliances to enter into new markets. The Company has manufacturing facilities in Utah and Maryland.

For more information on SINTX Technologies or its silicon nitride material platform, please visit www.sintx.com.

Forward-Looking Safe Harbor Statement

This press release contains forward-looking statements, including those relating to the offering, within the meaning of the Private Securities Litigation Reform Act of 1995 (PSLRA) that are subject to a number of risks and uncertainties. Risks and uncertainties that may cause such differences include, among other things: satisfaction of customary closing conditions related to the offering and sale of the shares of common stock, the use of proceeds from the offering, and SINTX’s ability to complete the offering; our products may not prove to be as effective as other products currently being commercialized or to be commercialized in the future by competitors; risks inherent in manufacturing and scaling up to commercial quantities while maintaining quality controls; volatility in the price of SINTX’s common stock; the uncertainties inherent in new product development, including the cost and time required to commercialize such product(s); market acceptance of our products once commercialized; SINTX’s ability to raise funding and other competitive developments. Readers are cautioned not to place undue reliance on the forward-looking statements, which speak only as of the date on which they are made and reflect management’s current estimates, projections, expectations, and beliefs. There can be no assurance that any of the anticipated results will occur on a timely basis or at all due to certain risks and uncertainties, a discussion of which can be found in SINTX’s Risk Factors disclosure in the Registration Statement and SINTX’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission (SEC) on March 29, 2023, and in SINTX’s other filings with the SEC. SINTX undertakes no obligation to publicly revise or update the forward-looking statements to reflect events or circumstances that arise after the date of this report.

Contact:
SINTX Technologies
801.839.3502
IR@sintx.com


FAQ

What is the purpose of SINTX's public offering?

SINTX intends to use the net proceeds for working capital and general corporate purposes.

How many shares are included in the public offering?

The public offering consists of 28,400,000 shares of common stock.

Who is the placement agent for the offering?

Maxim Group is acting as the sole placement agent for the public offering.

What is the expected public offering price per share?

The public offering price is set at $0.047 per share.

When is the expected closing date for the public offering?

The offering is anticipated to close on March 26, 2024, subject to customary closing conditions.

Where can interested parties find more information about the public offering?

Interested parties can access the final prospectus supplement and accompanying prospectus on the SEC's website at www.sec.gov or by contacting Maxim Group

Is the public offering being made under a shelf registration statement?

Yes, the public offering is being made pursuant to an effective shelf registration statement on Form S-3, as amended.

Is this press release an offer to sell securities?

No, this press release does not constitute an offer to sell securities or a solicitation of an offer to buy securities.

What are the estimated gross proceeds from the offering?

The gross proceeds from the offering are expected to be approximately $1.3 million before deducting fees and expenses.

Sintx Technologies, Inc.

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About SINT

amedica is the only manufacturer of medical grade silicon nitride, an innovative biomaterial technology ideal for use in spinal fusion and across a variety of medical applications. our silicon nitride features a unique nanosurface texture that promotes bone growth and addresses clinical needs by providing excellent imaging capabilities and demonstrating antibacterial characteristics. our interbody fusion devices and pedicle screw systems are designed to benefit both the patient and the surgeon. with the only fda registered and iso 1345 certified silicon nitride medical device manufacturing facility in the world and a strong sales and distribution organization, we are committed to providing innovative healthcare solutions that improve patient quality of life.