CleanCore Solutions, Inc. Announces Pricing of Initial Public Offering and NYSE American Listing

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CleanCore Solutions, Inc. Announces Pricing of Initial Public Offering and NYSE American Listing
CleanCore Solutions, Inc. announced the pricing of its initial public offering of 1,250,000 shares of common stock at $4.00 per share, expecting gross proceeds of $5,000,000. The shares will trade on NYSE American under the ticker symbol 'ZONE' with an expected closing date of April 30, 2024. Net proceeds after expenses are estimated at $3,760,000, to be used for debt repayment, research, intellectual property, and general corporate purposes. The underwriters have an option to purchase additional shares. Boustead Securities, is the book-running manager for the Offering.

Positive

• The initial public offering of CleanCore Solutions, Inc. includes 1,250,000 shares priced at $4.00 per share, totaling $5,000,000 in gross proceeds.
• The company's shares will be listed on the NYSE American under the ticker symbol 'ZONE' on April 26, 2024.
• Net proceeds to the company are estimated at approximately $3,760,000 after deducting expenses.
• The underwriters have the option to purchase additional shares, and Boustead Securities, is the book-running manager for the Offering.

Negative

• The company may face challenges in meeting the expectations of investors post the initial public offering.
• There is a possibility of market volatility affecting the trading price of the company's shares on the NYSE American.

Financial Analyst

The initial public offering (IPO) of CleanCore Solutions, Inc. represents a pivotal moment for the company, effectively transitioning from a private entity to a publicly-traded one. The pricing at $4.00 per share is an early indicator of the company's perceived market value, though this perception can quickly evolve as the market reacts to the new listing. With an aim to raise $5 million gross proceeds, the expected net proceeds of approximately $3.76 million suggest substantial costs associated with the IPO process, not an unusual scenario for companies in this stage. Investors should note the planned use of these funds—to service debt, bolster research and development, protect intellectual property and reinforce working capital—each essential for CleanCore's growth and operational stability. The option granted to underwriters to purchase additional shares could potentially dilute current shareholders' value but also represents a vote of confidence in the IPO's success. Tracking the stock's performance post-IPO will be important to understand the market's reception of CleanCore, especially given its niche in developing eco-friendly cleaning technologies.

Market Research Analyst

CleanCore's entrance into the public market signifies not just a corporate milestone but also an investment in the company's patented aqueous ozone technology. This technology, an all-purpose cleaner, taps into a growing demand for environmentally friendly cleaning solutions, which has seen a surge in both consumer and industrial applications. The public's growing environmental consciousness can make CleanCore's offering very attractive. However, potential investors should scrutinize the company's ability to compete and innovate within the eco-cleaning industry, evaluating their R&D commitments and intellectual property plans outlined in the IPO use of funds. By examining industry benchmarks, prospective shareholders can get a sense of how well-positioned CleanCore is in comparison to its peers. Factors such as market growth rates, regulatory tailwinds and competitive landscape will shape the company's chances of leveraging its IPO towards sustainable success.

Environmental Technology Expert

CleanCore's patented technology reflects an increasing trend in the adoption of green technologies within the cleaning industry. Aqueous ozone, known for its effectiveness in breaking down dirt, bacteria and viruses without the use of chemicals, could position the company as an innovator in a sector that's ripe for disruption. For investors, the company's commitment to R&D in this area could signal long-term growth potential, particularly if they continue to develop and refine their technology to maintain a competitive edge. However, it's essential to monitor how rapidly the market adopts such technologies and whether CleanCore maintains a strong patent strategy to protect its intellectual property. The effectiveness of their technology in real-world applications, as well as their ability to scale production and distribution, will be critical factors in evaluating the potential return on investment.

Omaha, NE, April 26, 2024 (GLOBE NEWSWIRE) -- CleanCore Solutions, Inc. (NYSE American: ZONE) (“CleanCore” or the “Company”), developer of the patented aqueous ozone technology that works as an all-purpose cleaner, announced the pricing of its initial public offering (the “Offering”) of 1,250,000 shares of common stock at a price to the public of $4.00 per share for gross Offering proceeds of $5,000,000. The shares are expected to begin trading on the NYSE American stock exchange on Friday, April 26, 2024, under the ticker symbol “ZONE”.

The Offering is expected to close on Tuesday, April 30, 2024, subject to the satisfaction of customary closing conditions. Net proceeds to the Company, after deducting underwriting discounts and commissions and other offering expenses, are expected to be approximately $3,760,000. The Company intends to use the net proceeds from this Offering for the repayment of certain debt, research and development and for intellectual property, and for working capital and general corporate purposes.

In addition, the Company has granted the underwriters a 45-day option to purchase up to an additional 187,500 shares, at the Offering price, less underwriting discounts and commissions.

Boustead Securities, LLC is acting as the sole book-running manager for the Offering.

The Offering is being conducted pursuant to the Company's Registration Statement on Form S-1 (File No. 333-274928) previously filed with, and subsequently declared effective on Thursday, April 25, 2024, by the U.S. Securities and Exchange Commission (the "SEC"). The Offering is being made only by means of a prospectus. 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. You may get these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, electronic copies of the prospectus relating to the Offering may be obtained from Boustead Securities, LLC, 6 Venture, Suite 395, Irvine, California 92618, by phone at +1-949-502-4408 or by email at offerings@boustead1828.com.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, 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 CleanCore Solutions

CleanCore Solutions, Inc. (NYSE American: ZONE) is dedicated to revolutionizing cleaning and disinfection practices by harnessing the power of its patented aqueous ozone technology. The Company’s mission is to empower its customers with cost-effective, sustainable solutions that surpass traditional cleaning methods. Through innovation and commitment to excellence, CleanCore strives to create a healthier, greener future for generations to come. For more information, please visit https://www.cleancoresol.com/.

Forward Looking Statements

This press release may contain information about our views of future expectations, plans and prospects that constitute forward-looking statements, including the expected trade date and closing date of the Offering, and the planned use of proceeds from the Offering. All forward-looking statements are based on management’s beliefs, assumptions and expectations of CleanCore’s future economic performance, taking into account the information currently available to it. These statements are not statements of historical fact. Although CleanCore believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. CleanCore does not undertake any duty to update any statements contained herein (including any forward-looking statements), except as required by law. Forward-looking statements are subject to a number of factors, risks and uncertainties, some of which are not currently known to us, that may cause CleanCore’s actual results, performance or financial condition to be materially different from the expectations of future results, performance or financial position. Actual results may differ materially from the expectations discussed in forward-looking statements. Factors that could cause actual results to differ materially from expectations include general industry considerations, regulatory changes, changes in local or national economic conditions and other risks set forth in “Risk Factors” included in our filings with the SEC.

Investor Relations:
Crescendo Communications, LLC
Email: zone@crescendo-ir.com
Tel: (212) 671-1020 x305

Underwriter Contact:
Boustead Securities, LLC
Brinson Lingenfelter
Tel: (949) 502-4408
Email: Brinson@boustead1828.com

FAQ

What is the pricing of CleanCore Solutions, Inc.'s initial public offering?

CleanCore Solutions, Inc. priced its initial public offering at $4.00 per share, totaling $5,000,000 in gross proceeds.

When will CleanCore Solutions, Inc.'s shares begin trading on the NYSE American?

CleanCore Solutions, Inc.'s shares are expected to begin trading on the NYSE American on April 26, 2024.

What is the expected net proceeds to CleanCore Solutions, Inc. after deducting expenses?

The expected net proceeds to CleanCore Solutions, Inc. after deducting expenses are approximately $3,760,000.

Who is the book-running manager for CleanCore Solutions, Inc.'s Offering?

Boustead Securities, is acting as the sole book-running manager for CleanCore Solutions, Inc.'s Offering.