KULR Announces Pricing of $900,000 Public Offering of Common Stock
- None.
- The public offering at a price of $0.20 per share may indicate a lack of confidence in the company's current valuation, potentially affecting investor sentiment.
Insights
The pricing of KULR Technology Group's underwritten public offering at $0.20 per share for 4,500,000 shares, generating expected gross proceeds of $900,000, is a strategic decision that warrants scrutiny. The offering's relatively low price point could signal an attempt to attract investment despite potential market skepticism, possibly due to the company's financial position or growth prospects.
It's critical to assess the company's valuation in the context of its sector and the broader market. The decision to use proceeds to repay debt obligations, specifically to Yorkville and for general corporate purposes, indicates a need for liquidity. This could raise concerns about the company's cash flow management and future financing strategies.
Investors should consider the dilutive impact of the offering on existing shareholders, as well as the potential for further dilution if the underwriter exercises the option to purchase additional shares. The timing and size of the offering, compared to the company's market capitalization, are also important factors to evaluate.
The offering is structured under a shelf registration statement on Form S-3, which allows for the prepared issuance of securities. This method provides KULR with the flexibility to time the market and manage the offering's proceeds more efficiently. However, it is incumbent upon potential investors to thoroughly review the preliminary prospectus supplement and the accompanying prospectus, as well as any incorporated documents filed with the SEC, to understand the risks and the specifics of the offering.
Legal compliance with SEC regulations, including the effective registration statement and the requirement for a written prospectus, is crucial for the legitimacy of the offering. Any discrepancies or omissions in these documents could have legal ramifications and impact investor confidence.
Market reception to KULR's offering will be influenced by the company's performance, industry trends and investor sentiment towards the sustainable energy management sector. The offering's success and the subsequent stock performance are contingent upon market perception of KULR's growth trajectory and its ability to capitalize on the funds raised for corporate expansion and debt repayment.
Analysing peer companies and the sector's overall funding environment can provide additional context to the offering's pricing strategy. The market's response to the offering could serve as an indicator of the sustainable energy management sector's current investment climate.
SAN DIEGO, Dec. 20, 2023 (GLOBE NEWSWIRE) -- KULR Technology Group, Inc. (NYSE American: KULR) (the "Company" or "KULR"), a global leader in sustainable energy management, today announced it has priced its underwritten public offering (the “Offering”) of 4,500,000 shares of its common stock at a public offering price of
KULR will use a portion of the net proceeds from this offering to repay certain amount owed to Yorkville and for general corporate and working capital purposes.
R.F. Lafferty & Co., Inc. is acting as the sole book-running manager for the offering.
The securities will be offered and sold pursuant to a shelf registration statement on Form S-3 (File No. 333-257697), including a base prospectus, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 6, 2021 and declared effective on July 13, 2021. The offering will be made only by means of a written prospectus. A preliminary prospectus supplement and accompanying prospectus describing the terms of the offering has been filed with the SEC on its website at www.sec.gov. Copies of the preliminary prospectus supplement and the accompanying prospectus relating to the offering may also be obtained from the offices of R.F. Lafferty & Co., Inc., 40 Wall Street, 27th floor, New York, NY 10005, by email offerings@rflafferty.com, or by calling 212-293-9090. Before investing in this offering, interested parties should read in their entirety the preliminary prospectus supplement and the accompanying prospectus and the other documents that the Company has filed with the SEC that are incorporated by reference in such preliminary prospectus supplement and the accompanying prospectus, which provide more information about the Company and such offering.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy, 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 KULR Technology Group Inc.
KULR Technology Group Inc. (NYSE American: KULR) is a leading energy management platform company offering proven solutions that play a critical role in accelerating the electrification of the circular economy. Leveraging a foundation in developing, manufacturing, and licensing next-generation carbon fiber thermal management technologies for batteries and electronic systems, KULR has evolved its holistic suite of products and services to enable its customers across disciplines to operate with efficiency and sustainability in mind. For more information, please visit www.kulrtechnology.com.
Safe Harbor Statement
This press release does not constitute an offer to sell or a solicitation of offers to buy any securities of any entity. This release contains certain forward-looking statements based on our current expectations, forecasts and assumptions that involve risks and uncertainties. Forward-looking statements in this release are based on information available to us as of the date hereof. Our actual results may differ materially from those stated or implied in such forward-looking statements, due to risks and uncertainties associated with our business, which include the risk factors disclosed in our Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 28, 2023, as may be amended or supplemented by other reports we file with the Securities and Exchange Commission from time to time. Forward-looking statements include statements regarding our expectations, beliefs, intentions, or strategies regarding the future and can be identified by forward-looking words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” and “would” or similar words. Except as required by law, we assume no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise.
Investor Relations:
KULR Technology Group, Inc.
Phone: 858-866-8478 x 847
Email: ir@kulrtechnology.com
Media Relations:
Further PR
Email: press@furtherpr.com
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