At the end of the first quarter of 2015, Nano Dimension(TASE: NNDM) had NIS 7.1 million in the bank, and attached a going concern warining to its reports. However, the buzz surrounding the company’s activity - 3D printing - is helping Nano Dimension raise funds and prepare for a Wall Street listing.
Nano Dimension merged with the stock market shell ZBI last year, and since the beginning of this year, the company’s share price has increased by 300%. Alongside the publication of its financial reports, the company announced today that it has raised at least NIS 44 million. The fundraising will be carried out through a private placement, at NIS 5.5 per share, which is the average company share price for the past two months. The placement also includes options - half the number of shares allocated for each investor, at an exercise price of NIS 9 (30% higher than the current price), for a period of two years.
Nano Dimension has stated that it has already signed investment agreements totaling NIS 44 million, and that the final amount of the fundraising will be set in the coming days. If the share’s closing price at the end of the 60th day of trading after the deal and the average closing price over the previous 5 days are both lower than NIS 5.5, the company will allocate additional shares for the investors reflecting the discrepancy, up to a minimum share price of NIS 4.75.
The company’s board of directors believes that the fundraising will make it possible for the company to operate without the need for additional fundraising for the next two years, other than through a Nasdaq IPO or a strategic investor. The board has decided to act immediately to list the company’s shares on Wall Street as an American depositary receipt (ADR).
Nano Dimension trades at a market cap of NIS 158 million. Nano Dimension CEO Amit Dror said, “This is a significant sum, which will make it possible for the company to attain its business goals in the coming years. After the launch of the company’s first-generation printer, we are preparing to work with select clients, and begin commercial production of the company’s unique ink.”
Nano Dimension board chairman Itschak Shrem said today that exposure to the US is important, because the US is the company’s primary target market.
Nano Dimension did not record any revenue in the first quarter, and had a net loss of NIS 3 million. The largest shareholder in the company is Michael Ilan, alongside an investor group that includes company CEO Amit Dror, Simon Fried, Sharon Fima, and Dagi Ben-Noon. Company chairman Itschak Shrem owns 3%.
Published by Globes [online], Israel business news - www.globes-online.com - on June 1, 2015
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