Raytech Holding Limited Announces Pricing of Its Initial Public Offering
Raytech Holding (RAY), a Hong Kong-based company specializing in personal care electrical appliances, announced the pricing of its initial public offering (IPO) of 1,500,000 ordinary shares at $4 per share, totaling $6 million. The shares are listed on the Nasdaq Capital Market under the ticker symbol 'RAY'. An additional option for underwriters to purchase 225,000 shares has been granted. The IPO is expected to close on May 17, 2024, subject to customary conditions. Proceeds will be allocated to brand promotion, recruitment, strategic investments, and working capital. Revere Securities acted as a representative for the underwriters.
- IPO priced at $4 per share, raising $6 million.
- Shares listed on Nasdaq Capital Market under 'RAY'.
- Underwriters granted option to purchase an additional 225,000 shares.
- Proceeds allocated to brand promotion (25%), recruitment (25%), strategic investments (25%), and general working capital (25%).
- Revere Securities , a reputable firm, acted as the representative of the underwriters.
- Net proceeds will be lower after underwriting discounts and offering expenses.
- Success of investment in brand promotion and strategic acquisitions is uncertain.
- Potential over-allotment may dilute existing shares.
- Dependence on raising capital to fund operations.
Raytech Holding Limited's IPO pricing at
This IPO offers investors an opportunity to get in on the ground floor of a company looking to expand its market presence. The allocation of proceeds—
Moreover, listing on the Nasdaq Capital Market is a positive indicator of the company's growth potential and credibility, yet it also subjects the company to the stringent regulatory and financial disclosure requirements of a U.S. exchange. This will appeal to investors seeking transparency but may also add pressure on the company's management to meet these obligations.
In the short term, the successful completion of the offering and the stock's performance will be key indicators of market confidence. Long-term success will depend on how effectively the allocated funds are utilized to drive growth and profitability.
From a market perspective, Raytech Holding Limited's entry into the public market comes at an interesting time. The company's focus on personal care electrical appliances taps into a growing market driven by increasing consumer demand for health and wellness products. The choice to use
The planned investments in strategic acquisitions and recruitment underscore the company's intent to bolster its market position and innovation capabilities. However, investors should be aware of the risks associated with these initiatives, such as integration challenges and the ability to attract top talent in a competitive job market.
The company's international footprint and sourcing capabilities can be advantageous in scaling operations and optimizing cost efficiencies. However, geopolitical risks and supply chain disruptions remain potential drawbacks that could impact the company's operational effectiveness.
Overall, the strategic use of IPO proceeds to enhance market competitiveness and operational growth appears to be well thought out, aligning with current market trends and opportunities.
Hong Kong, May 15, 2024 (GLOBE NEWSWIRE) -- Raytech Holding Limited (the “Company” or “RAY”), a Hong Kong-headquartered company specializes in design, sourcing and wholesale of personal care electrical appliances for international brand owners, today announced the pricing of its initial public offering (the "Offering") of 1,500,000 ordinary shares (the "Ordinary Shares") at a public offering price of
The Company has granted the underwriters an option, exercisable within 45 days from the closing date of the Offering, to purchase up to an additional 225,000 Ordinary Shares at the initial public offering price, less underwriting discounts, to cover over-allotments, if any.
The Offering is expected to close on May 17, 2024, subject to the satisfaction of customary closing conditions.
The Offering is being conducted on a firm commitment basis. Revere Securities, LLC, acted as the representative of the underwriters, R.F. Lafferty & Co., Inc. acted as the joint book runner, and Dominari Securities LLC acted as co-manager for the Offering. (the “Underwriters”) for the Offering. Robinson & Cole LLP is acting as U.S. counsel to the Company, and Hunter Taubman Fischer & Li LLC is acting as U.S. counsel to the Underwriters, in connection with the Offering.
The Company intends to use the proceeds from this Offering for 1) brand promotion and marketing (
A registration statement on Form F-1 (File No. 333-275197) relating to the Offering, as amended, has been filed with the U.S. Securities and Exchange Commission (the "SEC") and was declared effective by the SEC on May 13, 2024. The Offering is being made only by means of a prospectus. Copies of the final prospectus related to the Offering may be obtained, when available, from Revere Securities LLC by email at info@reveresecurities.com or via standard mail to Revere Securities LLC, 560 Lexington Avenue 16Fl, NY, NY 10022. In addition, a copy of the final prospectus can also be obtained via the SEC's website at www.sec.gov.
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 the solicitation of an offer to buy the securities described herein, 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 Raytech Holding Limited
Raytech Holding Limited is a Hong Kong-headquartered company with over 10 years of experience in the personal care electrical appliance industry. Through its operating subsidiary in Hong Kong, it sources and wholesales a diverse range of personal care electrical appliances ranging from hair styling, tooling, trimmer, eyelash curler, neck care, to nail care and other body and facial care appliances for international brand owners, providing integrated product design, production processing, and manufacturing solutions. For more information please visit: https://www.raytech.com.hk/; https://ir.raytech.com.hk/ .
Forward-Looking Statement
This press release contains forward-looking statements. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may, "will, "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. These forward-looking statements include, without limitation, the Company's statements regarding the expected trading of its Ordinary Shares on the Nasdaq Capital Market and the closing of the Offering. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These forward-looking 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.
For more information, please contact:
Underwriters
Revere Securities LLC
560 Lexington Ave, 16th Floor,
New York, NY10022
(212) 688-2350
contact@reveresecurities.com
R.F. Lafferty & Co., Inc.
40 Wall Street, 29th Floor
New York, NY 10005
(212) 293-9090
offerings@rflafferty.com
Investor Relations
WFS Investor Relations Inc.
Janice Wang, Managing Partner
Email: services@wealthfsllc.com
Phone: +86 13811768599
+1 628 283 9214
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