Crown Electrokinetics Announces Pricing of $19 Million Public Offering and Uplisting to the Nasdaq Capital Market

Rhea-AI Summary

Crown Electrokinetics Corp. (NASDAQ: CRKN) has announced a public offering of 4,150,000 shares at $4.50 each, expected to raise approximately $18.7 million. This offering will close on January 28, 2021, pending customary conditions. In conjunction with this, Crown has executed a 1-for-3 reverse stock split, commencing trading under the ticker CRKN on the Nasdaq Capital Market. Roth Capital Partners is the sole book-running manager for the offering.

Positive

• Expected gross proceeds of approximately $18.7 million to enhance operational capacity.
• Successful uplisting to the Nasdaq Capital Market improves visibility and accessibility for investors.

Negative

• Reverse stock split may lead to shareholder dilution and investor concerns about the company's financial health.

CORVALLIS, Ore., Jan. 26, 2021 /PRNewswire/ -- Crown Electrokinetics Corp. (NASDAQ: CRKN) ("Crown" or the "Company"), a leading smart glass technology company with a patented thin-film solution, today announced the pricing of an underwritten public offering of 4,150,000 shares of its common stock at a public offering price of $4.50 per share. In addition, Crown has granted the underwriters a 30-day over-allotment option to purchase up to an additional 622,500 shares of common stock at the public offering price, less underwriting discounts and commissions. The offering is expected to close on January 28, 2021, subject to the satisfaction of customary closing conditions.

In connection with the offering, Crown has been approved for listing its common stock on the Nasdaq Capital Market. In addition, the Company effected a 1-for-3 reverse stock split and will commence trading on the Nasdaq Capital Market under the ticker symbol "CRKN" on a post-reverse-stock-split basis today, Tuesday, January 26, 2021.

Gross proceeds to Crown from the offering are expected to be approximately $18.7 million, before deducting underwriting discounts and commissions and estimated offering expenses, but excluding any exercise of the underwriters' over-allotment option.

Roth Capital Partners is acting as the sole book-running manager. National Securities Corporation is acting as the lead manager and Colliers Securities LLC is acting as co-manager for the offering.

The securities described above are being offered by the Company pursuant to a registration statement on Form S-1 (File No. 249833) that was previously filed with the U.S. Securities and Exchange Commission (the "SEC") and declared effective by on January 25, 2021, and an additional registration statement on Form S-1 filed pursuant to Rule 462(b) (File No. 333-252418), which became automatically effective on January 25, 2021. This offering is being made only by means of a prospectus. A preliminary prospectus relating to and describing the terms of the offering has been filed with the SEC. Electronic copies of the preliminary prospectus and, when available, copies of the final prospectus relating to the offering may be obtained for free by visiting the SEC's website at www.sec.gov or by contacting Roth Capital Partners, 888 San Clemente, Newport Beach, CA 92660, Attn: Prospectus Department, telephone: 800-678-9147, or email at rothecm@roth.com.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, 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 Crown Electrokinetics
Crown is a smart glass technology company and the creator of DynamicTint - We Make Your Glass Smarter™. Originally invented by Hewlett-Packard (HP, Inc.), our technology allows any glass surface to transition between clear and dark in seconds. With applications to a wide array of windows, including commercial buildings, automotive sunroofs, and residential skylights, we partner with leading glass and film manufacturers for mass production and distribution. At the core of our technology is a thin film that is powered by electrically-charged pigment which not only replaces common window tints but is also a more sustainable alternative to traditional window treatments. With its unique ability to be retrofitted to existing glass, DynamicTint™ offers myriad benefits related to reducing carbon emissions. The company is supported by a robust patent portfolio. For more information, please visit WWW.CROWNEK.COM.

Forward-Looking Statements
This press release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements, and terms such as "anticipate," "expect," "intend," "may," "will," "should" or other comparable terms, involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. Those statements include statements regarding the intent, belief or current expectations of Crown Electrokinetics and members of its management, as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, including those described in Crown Electrokinetics' periodic reports filed with the SEC, and that actual results may differ materially from those contemplated by such forward-looking statements. Except as required by federal securities law, Crown Electrokinetics undertakes no obligation to update or revise forward-looking statements to reflect changed conditions.

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SOURCE Crown Electrokinetics

FAQ

What is the public offering price for Crown Electrokinetics (CRKN)?

Crown Electrokinetics is offering shares at a public price of $4.50 each.

How many shares is Crown Electrokinetics offering in this public offering?

Crown Electrokinetics is offering 4,150,000 shares in this public offering.

When is the expected closing date for the offering?

The offering is expected to close on January 28, 2021.

What is the purpose of Crown Electrokinetics' stock offering?

The offering aims to raise approximately $18.7 million to support the company's operations.

What is the significance of the reverse stock split for CRKN?

Crown executed a 1-for-3 reverse stock split, which can impact stock price stability and shareholder value.