Micropolis Holding Company Announces Pricing of Its Initial Public Offering

Rhea-AI Summary

Micropolis Holding Company (NYSE: MCRP), a UAE-based robotics manufacturer specializing in autonomous mobile robots, has announced the pricing of its Initial Public Offering. The company is offering 3,875,000 Ordinary Shares at $4.00 per share, aiming to raise $15.5 million in gross proceeds.

Trading is set to commence on the NYSE American under ticker symbol 'MCRP' on March 7, 2025, with the offering expected to close on March 10, 2025. The underwriters have a 45-day option to purchase up to 581,250 additional shares to cover over-allotments.

The proceeds will fund talent acquisition, marketing, equipment purchases, R&D, contract fulfillment, and repayment of related party loans. Network1 Financial Securities is serving as the sole book-running manager for this firm commitment offering.

Positive

• IPO raises $15.5M in gross proceeds
• Listed on major exchange NYSE American
• Firm commitment offering structure
• Diversified use of proceeds for growth initiatives

Negative

• Related party loans requiring repayment
• Small IPO size may limit market liquidity
• Potential dilution from over-allotment option

Insights

Financial Analyst

Micropolis Holding Company's IPO pricing at $4.00 per share raises $15.5 million in gross proceeds, positioning this UAE-based robotics manufacturer for its NYSE American debut under ticker MCRP. The modest offering price and relatively small capital raise suggest a cautious market approach, typical for emerging technology companies seeking public investment while managing valuation expectations.

The firm commitment underwriting structure indicates underwriter confidence in placing the shares, though Network1 Financial Securities' role as sole book-runner rather than a larger investment bank signals this is a smaller-scale IPO. The additional 15% over-allotment option (up to 581,250 additional shares) provides flexibility to address strong demand if it materializes.

Micropolis' stated use of proceeds reveals balanced priorities: strengthening operational capabilities (talent, equipment, R&D) while addressing immediate financial obligations (repaying related party loans). This allocation suggests management is focused on both growth initiatives and cleaning up its capital structure – a prudent approach for a newly public company. Investors should note the relatively long regulatory review period (initial filing December 2023, effectiveness March 2025) which may reflect either complex business considerations or adjustments to satisfy SEC requirements.

Technology Expert

Micropolis' public debut positions this specialized UAE robotics manufacturer within the rapidly evolving autonomous mobile robot (AMR) sector. The company's focus on wheeled electric vehicle platforms with autonomous driving capabilities aligns with growing market demand for flexible automation solutions across logistics, manufacturing, and commercial applications.

The relatively modest $15.5 million capital raise suggests a targeted growth strategy rather than aggressive scaling. Allocating funds specifically to talent acquisition, R&D, and advanced equipment indicates management understands the technical challenges in robotics development – particularly maintaining competitive autonomous navigation capabilities that typically require substantial ongoing investment.

While the company operates in a promising market segment with significant growth potential, the AMR space faces intense competition from both established industrial automation players and well-funded startups. Micropolis' UAE base provides interesting geographical diversification in a sector dominated by American, European and Asian firms, potentially offering access to different market opportunities, though distribution partnerships will likely be important for global expansion. Investors should evaluate the company's intellectual property portfolio and technological differentiation as key indicators of long-term competitiveness in this capital-intensive and rapidly evolving sector.

Dubai, March 06, 2025 (GLOBE NEWSWIRE) -- Micropolis Holding Company (NYSE American: MCRP) (“Micropolis” or the “Company”), a robotics manufacturer based in the United Arab Emirates which specializes in developing autonomous mobile robots that utilize wheeled electric vehicle platforms and are equipped with autonomous driving capabilities, announced today the pricing of its underwritten initial public offering (the “Offering”) of 3,875,000 Ordinary Shares at a public offering price of $4.00 per share, for total gross proceeds of $15.5 million to the Company, before underwriting discounts and other offering expenses. The Ordinary Shares are expected to begin trading on the NYSE American under the ticker symbol “MCRP” on March 7, 2025. The Offering is expected to close on March 10, 2025, subject to satisfaction of customary closing conditions.

The Company has granted the Underwriters an option to purchase up to 581,250 additional Ordinary Shares within 45 days of the closing of the Offering at the public offering price, less underwriting discounts, to cover the over-allotment option, if exercised.

Micropolis intends to use the proceeds from the Offering for talent acquisition, marketing and public relations, acquisition of machinery and advanced equipment, R&D specific expenses, contracts & outsourcing, repayment of certain related party loans, as well as working capital and other general corporate purposes.

The Offering was conducted on a firm commitment basis. Network1 Financial Securities, Inc. is acting as the sole book-running manager for the Offering. Loeb & Loeb LLP acted as U.S. securities counsel to the Company, and Hunter Taubman Fischer & Li LLC acted as U.S. securities counsel to Network 1 Financial Securities, Inc., in connection with the Offering.

A registration statement on Form F-1 relating to the shares being sold in the Offering was initially filed with the U.S. Securities and Exchange Commission (the “SEC”) on December 22, 2023; and was declared effective by the SEC on March 6, 2025. 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 for free by visiting EDGAR on the SEC’s website at www.sec.gov, or alternatively, from: Network1 Financial Securities, Inc., The Galleria, 2 Bridge Avenue, Suite 241, Red Bank, NJ 07701.

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 a solicitation of an offer to buy these securities, 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 Micropolis Holding Company

Micropolis is a robotics manufacturer founded in 2014, based in UAE with its headquarters located in Dubai Production City, Dubai, UAE. It specializes in developing AMRs that utilize wheeled EV platforms and are equipped with autonomous driving capabilities. As part of Micropolis’ product offerings, it integrates application-specific pods that serve as the primary purpose of a robot. These pods are designed to accommodate various functionalities, including surveillance cameras, road sweepers, logistics compartments, as well as collaborative robots (cobots) intended for direct human-robot interaction.

For more information, visit www.micropolis.ai. 

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the completion and timing of closing of the Offering and the intended use of the proceeds. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “anticipate”, “estimate”, “expect”, “project”, “plan”, “intend”, “believe”, “may”, “will”, “should”, “can have”, “likely” and other words and terms of similar meaning. Forward-looking statements represent Micropolis’ current expectations regarding future events and are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those implied by 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.

Contact Information

For Investor Relations:

Micropolis Holding Company
Email: Francesca@micropolis.ae

FAQ

What is the expected IPO price and size for Micropolis (MCRP) in March 2025?

Micropolis is offering 3,875,000 Ordinary Shares at $4.00 per share, with total gross proceeds of $15.5 million.

When will Micropolis (MCRP) stock begin trading on NYSE American?

MCRP shares are expected to begin trading on NYSE American on March 7, 2025.

How will Micropolis (MCRP) use its IPO proceeds?

Proceeds will fund talent acquisition, marketing, equipment purchases, R&D, contracts, loan repayment, and working capital.

What is the over-allotment option in Micropolis (MCRP) IPO?

Underwriters have a 45-day option to purchase up to 581,250 additional shares at the public offering price.