Kraig Biocraft Laboratories Receives $1.5 Million in Capital Funding

Rhea-AI Summary

Kraig Biocraft Laboratories (OTCQB: KBLB) has strengthened its financial position by raising a total of $8 million from YAII PN, Ltd over the past 16 months, including a recent $1.5 million installment. The funds are being utilized to enhance production capabilities, including the construction of custom rearing rooms, automated production equipment, and a molecular biology lab for quality control. COO Jon Rice emphasized that Prodigy Textiles is operational, focusing on eco-friendly spider silk for global textiles.

Positive

• Raised a total of $8 million in 16 months, enhancing financial stability.
• Recent $1.5 million investment strengthens production operations.
• Expanded production capacity with new facilities and quality control systems.
• Prodigy Textiles is operational and aiming to fulfill eco-responsible spider silk demand.

Negative

• None.

Company is in its strongest financial position ever, having raised $8 million in 16 months

ANN ARBOR, Mich., April 14, 2022 (GLOBE NEWSWIRE) -- Kraig Biocraft Laboratories, Inc. (OTCQB: KBLB) (“Company” or “Kraig Labs”), the biotechnology company focused on the development and commercialization of spider silk, announces that it has received another $1.5 million from YAII PN, Ltd (“YAII”) a fund managed by Yorkville Advisors Global, LP (“Yorkville”). The $1.5 million received this week is the second half of a $3 million fund agreement signed with YAII in January 2022. This $3 million and those from the previously announced transactions account for an $8 million total YAII investment into Kraig Labs over the past 16 months.

The Company is well underway, putting this impact capital to work, strengthening its production operations. Over the last nine months, the Company has deployed capital to build additional production capacity and bring key onsite quality control systems online. These renovations included building out custom-designed rearing rooms, purchasing and installing custom automated production equipment, and planting onsite mulberry to support year-round operations. This work also included the construction of a fully operational molecular biology laboratory that provides onsite and in-process quality control, mirroring the capabilities of the Company’s U.S.-based R&D labs.

“This capital is allowing us to make strategic investments in critical processing, facilities, and equipment that have dramatically enhanced our production capabilities and capacity. Prodigy Textiles is now fully operational and beginning to fulfilling its mission of bringing eco-responsible and cost-effective spider silk to the global textile markets,” said Company COO, Jon Rice.

Maxim Group LLC acted as the sole placement agent for this capital raise.

The Company thanks Maxim Group LLC and Yorkville for their continued trust and confidence in Kraig Labs and its disruptive innovation of the technical textile markets.

To view the most recent news from Kraig Labs and/or to sign up for Company alerts, please go to www.KraigLabs.com/news.

About Kraig Biocraft Laboratories, Inc.

Kraig Biocraft Laboratories, Inc. (www.KraigLabs.com), a fully reporting biotechnology company, is a developer of genetically engineered spider silk based fiber technologies.

Cautionary Statement Regarding Forward Looking Information

Statements in this press release about the Company’s future and expectations other than historical facts are “forward-looking statements.” These statements are made on the basis of management’s current views and assumptions. As a result, there can be no assurance that management’s expectations will necessarily come to pass. These forward-looking statements generally can be identified by phrases such as “believes,” “plans,” “expects,” “anticipates,” “foresees,” “estimated,” “hopes,” “if,” “develops,” “researching,” “research,” “pilot,” “potential,” “could” or other words or phrases of similar import. Forward looking statements include descriptions of the Company’s business strategy, outlook, objectives, plans, intentions and goals. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those in forward-looking statements. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security.

Ben Hansel, Hansel Capital, LLC
(720) 288-8495
ir@KraigLabs.com

FAQ

What recent funding did Kraig Biocraft Laboratories receive?

Kraig Biocraft Laboratories received $1.5 million from YAII PN, Ltd as part of a $3 million agreement, contributing to an $8 million total raised over 16 months.

How is Kraig Labs using its recent funding?

The funding is being used to enhance production capabilities, including building custom rearing rooms and installing automated production equipment.

What is Prodigy Textiles doing?

Prodigy Textiles is now fully operational and focused on providing eco-responsible spider silk products to the global textile market.

Who managed the recent funding for Kraig Labs?

Maxim Group LLC acted as the sole placement agent for the recent capital raising efforts.