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Creative Global Technology Holdings Limited Announces Pricing of Its Initial Public Offering

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Creative Global Technology Holdings (CGTL), a Hong Kong-based company focused on recycled consumer electronics, has announced the pricing of its initial public offering. The company is offering 1,250,000 ordinary shares at $4.00 per share, aiming to raise $5,000,000 in gross proceeds. Trading will commence on November 26, 2024, on the Nasdaq Capital Market under ticker 'CGTL'. The underwriters have a 45-day option to purchase up to 187,500 additional shares. Proceeds will fund general corporate purposes, wholesale business expansion, retail growth, overseas market development, and construction of a repair facility.

Creative Global Technology Holdings (CGTL), un'azienda con sede a Hong Kong focalizzata sull'elettronica di consumo riciclata, ha annunciato il prezzo della sua offerta pubblica iniziale. L'azienda offrirà 1.250.000 azioni ordinarie a 4,00 dollari per azione, puntando a raccogliere 5.000.000 dollari di proventi lordi. Le contrattazioni inizieranno il 26 novembre 2024, sul Nasdaq Capital Market con il ticker 'CGTL'. Gli underwriter hanno un'opzione di 45 giorni per acquistare fino a 187.500 azioni aggiuntive. I proventi serviranno a finanziare le finalità aziendali generali, l'espansione del business all'ingrosso, la crescita al dettaglio, lo sviluppo dei mercati esteri e la costruzione di un impianto di riparazione.

Creative Global Technology Holdings (CGTL), una empresa con sede en Hong Kong centrada en la electrónica de consumo reciclada, ha anunciado el precio de su oferta pública inicial. La empresa ofrece 1.250.000 acciones ordinarias a 4,00 dólares por acción, con el objetivo de recaudar 5.000.000 de dólares en ingresos brutos. La negociación comenzará el 26 de noviembre de 2024 en el Nasdaq Capital Market bajo el ticker 'CGTL'. Los agentes de suscripción tienen una opción de 45 días para comprar hasta 187.500 acciones adicionales. Los ingresos se destinarán a fines corporativos generales, expansión del negocio mayorista, crecimiento minorista, desarrollo de mercados en el extranjero y construcción de una instalación de reparación.

Creative Global Technology Holdings (CGTL)는 홍콩에 본사를 둔 재활용 소비자 전자 제품에 중점을 둔 회사로, 공모가를 발표했습니다. 이 회사는 125만 주를 주당 4.00달러에 제공하여 500만 달러의 총 수익을 목표로 하고 있습니다. 거래는 2024년 11월 26일에 'CGTL'이라는 종목 코드로 나스닥 자본 시장에서 시작됩니다. 인수사는 추가로 최대 187,500주를 45일 이내에 구매할 수 있는 옵션을 가지고 있습니다. 수익금은 일반 기업 목적, 도매 사업 확장, 소매 성장, 해외 시장 개발 및 수리 시설 건설을 위한 자금으로 사용됩니다.

Creative Global Technology Holdings (CGTL), une entreprise basée à Hong Kong axée sur l'électronique grand public recyclée, a annoncé le prix de son introduction en bourse. L'entreprise propose 1.250.000 actions ordinaires à 4,00 dollars par action, visant à lever 5.000.000 dollars en recettes brutes. Les transactions commenceront le 26 novembre 2024 sur le Nasdaq Capital Market sous le symbole 'CGTL'. Les souscripteurs disposent d'une option de 45 jours pour acheter jusqu'à 187.500 actions supplémentaires. Les recettes seront utilisées pour financer des objectifs d'entreprise généraux, l'expansion du commerce de gros, la croissance de la vente au détail, le développement de marchés internationaux et la construction d'une installation de réparation.

Creative Global Technology Holdings (CGTL), ein in Hongkong ansässiges Unternehmen, das sich auf recycelte Verbraucherelektronik spezialisiert hat, hat die Preisgestaltung seines Börsengangs bekannt gegeben. Das Unternehmen bietet 1.250.000 Stammaktien zu 4,00 Dollar pro Aktie an und zielt darauf ab, 5.000.000 Dollar brutto zu beschaffen. Der Handel beginnt am 26. November 2024 an der Nasdaq Capital Market unter dem Tickersymbol 'CGTL'. Die Konsortialführer haben eine 45-tägige Option, bis zu 187.500 zusätzliche Aktien zu kaufen. Die Einnahmen dienen der allgemeinen Unternehmensfinanzierung, der Expansion des Großhandelsgeschäfts, dem Wachstum im Einzelhandel, der Entwicklung ausländischer Märkte sowie dem Bau einer Reparatureinrichtung.

Positive
  • IPO provides $5 million in new capital for business expansion
  • Nasdaq Capital Market listing enhances company visibility and trading access
  • Multiple growth initiatives planned including wholesale, retail, and overseas expansion
  • Development of repair and refurbishment facility to enhance operational capabilities
Negative
  • Small IPO size of only $5 million may limit growth potential
  • Potential dilution from additional 187,500 shares if over-allotment option is exercised

Insights

This IPO represents a modest market entry with a $5 million raise at $4.00 per share. The pricing and size suggest a conservative valuation approach for CGTL's entry into the recycled consumer electronics market. The company's focus on the growing circular economy sector could be timely, but the small offering size may limit initial market impact and liquidity.

The planned use of proceeds indicates a comprehensive growth strategy, targeting both wholesale and retail expansion, including international markets and vertical integration through a repair facility. However, with the relatively small capital raise, execution across multiple initiatives may be challenging. The firm commitment structure from the underwriters provides some validation of the business model, though the modest size suggests cautious institutional interest.

Hong Kong, Nov. 25, 2024 (GLOBE NEWSWIRE) -- Creative Global Technology Holdings Limited (the “Company” or “CGTL”), a Hong Kong-based company sourcing and reselling recycled consumer electronic devices, today announced the pricing of its initial public offering (the “Offering”) of 1,250,000 ordinary shares (the “Ordinary Shares”) at a public offering price of $4.00 per share for total gross proceeds of $5,000,000, before deducting underwriting discounts and other offering expenses. The Ordinary Shares have been approved for listing on the Nasdaq Capital Market and are expected to commence trading on November 26, 2024, under the ticker symbol “CGTL”.

The Company has granted the underwriters an option, within 45 days from the closing date of the Offering, to purchase up to an additional 187,500 Ordinary Shares at the public offering price, less underwriting discounts, to cover the over-allotment option, if any.

The Offering is expected to close on November 27, 2024, subject to the satisfaction of customary closing conditions.

The Offering is being conducted on a firm commitment basis. Benjamin Securities, Inc. is acting as the representative of the underwriters, with Prime Number Capital LLC acting as the co-manager (collectively, the “Underwriters”) for the Offering. Jun He Law Offices LLC is acting as U.S. counsel to the Company, and Winston & Strawn LLP is acting as U.S. counsel to the underwriter, in connection with the Offering.

The Company intends to use the proceeds from this Offering for general corporate purposes and to expand the wholesale business and develop a wholesale auction market, expand its retail business, expand into strategic overseas markets, and build a repair and refurbishment factory.

A registration statement on Form F-1 (File No. 333-273329) relating to the Offering, as amended, has been filed with the U.S. Securities and Exchange Commission (the “SEC”) and was declared effective by the SEC on November 18, 2024. The Offering is being made only by means of a prospectus. Copies of the final prospectus related to the Offering may be obtained, from Benjamin, Securities, Inc.: 3 West Garden Street Suite 407 Pensacola, FL 32502, or via email at info@benjaminsecurities.com or telephone at (516) 931-1090. In addition, a copy of the final prospectus can also 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 shall not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, 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 Creative Global Technology Holdings Limited

Creative Global Technology Holdings Limited is dedicated to extending the life of consumer electronics through effective recycling, supporting a sustainable circular economy and reducing electronic waste. The Company connects supply and demand for pre-owned devices, maximizing their utility. Specializing in sourcing and reselling recycled smartphones, tablets, and laptops, CGTL facilitates the flow of retired devices from affluent markets like the U.S. and Japan to developing regions in need of affordable technology. With a lean inventory and efficient logistics, CGTL ensures quick inspection and availability for clients. CGTL has also expanded into retail sales and device rentals, providing Hong Kong residents access to quality recycled electronics and meeting short-term needs. For more information, please visit: http://www.cgt-recycle.com; https://ir.cgt-recycle.com/.

Forward-Looking Statement

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 Ordinary Shares 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.

For more information, please contact:

Underwriters

Benjamin Securities, Inc.
(516) 931-1090
info@benjaminsecurities.com

Prime Number Capital, LLC
(516)717-5671
info@pncps.com

Investor Relations
WFS Investor Relations Inc.
Janice Wang, Managing Partner
Email: services@wealthfsllc.com
Phone: +86 13811768599
+1 628 283 9214


FAQ

What is the IPO price for Creative Global Technology Holdings (CGTL) shares?

Creative Global Technology Holdings (CGTL) has priced its IPO at $4.00 per ordinary share.

When will CGTL start trading on Nasdaq?

CGTL shares are expected to commence trading on November 26, 2024, on the Nasdaq Capital Market.

How much money is CGTL raising in its IPO?

CGTL is raising $5,000,000 in gross proceeds through the offering of 1,250,000 ordinary shares.

How will CGTL use the IPO proceeds?

CGTL will use the proceeds for general corporate purposes, expanding wholesale and retail operations, entering overseas markets, and building a repair facility.

Creative Global Technology Holdings Limited Ordinary Shares

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