LOBO EV Technologies Ltd. Announces Pricing of Initial Public Offering and Listing on Nasdaq

Rhea-AI Summary

LOBO EV Technologies announces the pricing of its initial public offering of 1,380,000 ordinary shares at $4.00 per share, expecting gross proceeds of approximately $5.5 million. The company also grants underwriters an option to purchase additional shares. Shares will trade on Nasdaq under the ticker symbol 'LOBO.'

Financial Analyst

The initial public offering (IPO) of LOBO EV Technologies Ltd. represents a significant milestone for the company and offers potential insights into the electric vehicle (EV) industry's growth trajectory. Given the offered price of $4.00 per share and the expected gross proceeds of $5.5 million, the valuation and capital raised suggest a modest entry into the market. This could indicate a cautious approach by LOBO in gauging investor appetite or potentially reflect a conservative estimation of the company's market potential.

The underwriters' 45-day option to purchase additional shares is a standard mechanism to manage over-allotments and provides a buffer for the company's stock price post-IPO. The success of this offering could be a bellwether for investor confidence in the EV sector, particularly for emerging players within the industry. However, the relatively small size of the offering could limit the immediate impact on the company's ability to scale operations and invest in R&D compared to larger, more established competitors.

Market Research Analyst

LOBO's IPO pricing and subsequent entry into the Nasdaq Capital Market is a strategic move that aligns with the broader trend of EV companies seeking capital through public markets. The electric vehicle market is experiencing rapid growth, driven by global efforts to reduce carbon emissions and technological advancements. The performance of LOBO's stock will be an indicator of the market's perception of the company's future growth prospects and its competitive position within the EV landscape.

Investors will likely scrutinize LOBO's post-IPO performance for indications of market demand for new entrants and their technological offerings. A successful IPO can provide LOBO with the necessary funds to expand its manufacturing capabilities, enhance its product lineup and increase its market share. On the other hand, the company's future success will be contingent on its ability to innovate and differentiate itself in a market that is becoming increasingly crowded with both established automakers and new EV startups.

Economist

The entry of LOBO EV Technologies Ltd. into the public market can be seen as a reflection of the broader economic environment's receptivity to the electric vehicle sector. The timing of the IPO, market conditions and investor sentiment towards sustainable technologies will all play a role in the offering's success. The capital infusion from the IPO could enable LOBI to capitalize on economies of scale and reduce unit costs if managed effectively.

It's important to monitor how LOBO manages its IPO proceeds in the context of macroeconomic factors such as interest rates, inflation and competition for consumer spending. These factors will influence the company's ability to grow and become profitable in the long run. While the EV market presents significant growth opportunities, it also poses challenges such as supply chain volatility and the need for continuous investment in technology to stay ahead of the curve.

WUXI, China, March 21, 2024 (GLOBE NEWSWIRE) -- LOBO EV Technologies Ltd. (“LOBO” or the “Company”), an innovative electric vehicle manufacturer and seller, today announced the pricing of its initial public offering of 1,380,000 ordinary shares, at a public offering price of $4.00 per share. Gross proceeds of the offering, prior to deducting underwriting discounts, commissions and offering expenses payable by the Company, are expected to be approximately $5.5 million. In addition, LOBO has granted the underwriters a 45-day option to purchase an additional 207,000 ordinary shares at the initial public offering price, less underwriting discounts and commissions, to cover over-allotments.

The shares are expected to begin trading on the Nasdaq Capital Market on March 21, 2024 under the ticker symbol “LOBO.” The closing of the public offering is expected to take place on or about March 25, 2024, subject to the satisfaction or waiver of customary closing conditions.

Kingswood, a division of Kingswood Capital Partners, LLC (“Kingswood”), is acting as sole bookrunner for the offering.

A registration statement on Form F-1 (File No. 333-270499) relating to the offering has been filed with the U.S. Securities and Exchange Commission (the “SEC”), which was declared effective on March 20, 2024. A copy of the registration statement can be accessed through the SEC’s website at www.sec.gov. The offering is being made only by means of a prospectus. A copy of the final prospectus relating to the offering, when available, may be obtained on the SEC’s website and from Kingswood, via email at lciervo@kingswoodus.com or by calling 561-961-0505 or standard mail at Kingswood Capital Partners, LLC, 7280 W Palmetto Park Rd., Suite 301, Boca Raton, FL 33433.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sales of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

About LOBO EV Technologies Ltd.

LOBO is an innovative electric vehicle manufacturer and seller. LOBO designs, develops, manufactures and sells e-bicycles, e-mopeds, e-tricycles, and electric off-highway four-wheeled shuttles such as golf carts and mobility scooters for the elderly and disabled persons. LOBO also provides automobile information and entertainment software development and design services to customers. Leveraging its cutting-edge technologies in connectivity, multimedia interactive systems and artificial intelligence, LOBO re-defines and develops its products in order to provide users with convenient, affordable and pleasant driving experiences. For more information, visit: www.loboebike.com. Any information contained on, or that can be accessed through, our website or any other website or any social media is not a part of this press release.

About Kingswood

Kingswood U.S., part of the Kingswood Group, is a network of wealth management firms that includes SEC-registered investment advisors and a FINRA-licensed broker-dealer, Kingswood offers investment banking and advisory services along with comprehensive wealth management and business-building services, designed specifically for the independent financial advisor. Together with its parent company, the Kingswood Group has more than $13 billion in assets under management, and 400 registered individuals. Kingswood combines the resources and capital of a large financial services firm with the personalized touch and feel of a boutique company. Kingswood has earned a reputation as a firm built for advisors by advisors.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”) as well as Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, as amended, that are intended to be covered by the safe harbor created by those sections. Forward-looking statements, which are based on certain assumptions and describe the Company’s future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as “believe,” “expect,” “may,” “will,” “should,” “would,” “could,” “seek,” “intend,” “plan,” “goal,” “project,” “estimate,” “anticipate,” “strategy,” “future,” “likely” or other comparable terms, although not all forward-looking statements contain these identifying words. All statements other than statements of historical facts included in this press release regarding the expected closing date of the public offering and the Company's strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Important factors that could cause the Company's actual results and financial condition to differ materially from those indicated in the forward-looking statements. Such forward-looking statements are subject to risk and uncertainties, including, but not limited to, those described in “Risk Factors,” “Management's Discussion and Analysis of Financial Condition and Results of Operations,” “Disclosure Regarding Forward-Looking Statements” in the Registration Statement on Form F-1 filed with the SEC (Reg. No. 333-270499) and the final prospectus. LOBO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events except as required by law. You should read this press release with the understanding that our actual future results may be materially different from what we expect.

Contact:
For more information, contact:
Zane Xu
IR Manager
ir@loboai.com

Dave Gentry
RedChip Companies Inc.
1-800-RED-CHIP (733-2447)
or 407-491-4498
LOBO@redchip.com    

FAQ

What is the pricing of LOBO's initial public offering?

LOBO's initial public offering is priced at $4.00 per share.

How many ordinary shares are included in LOBO's IPO?

LOBO's IPO includes 1,380,000 ordinary shares.

What are the expected gross proceeds of LOBO's IPO?

LOBO's IPO is expected to generate approximately $5.5 million in gross proceeds.

Under what ticker symbol will LOBO's shares trade on Nasdaq?

LOBO's shares will trade on Nasdaq under the ticker symbol 'LOBO.'

What option has LOBO granted to the underwriters?

LOBO has granted the underwriters a 45-day option to purchase an additional 207,000 ordinary shares at the IPO price to cover over-allotments.