Foresight plans further equity offering on Nasdaq

Foresight Automotive Ltd.'s QuadSight system / Photo: PR

Since the beginning of December, computerized vision system company Foresight's share price has risen 314%.

Foresight Autonomous Holdings Ltd. (Nasdaq: FRSX; TASE: FRSX). is taking advantage of the jump in its share price in the past two weeks and embarking on a further equity offering in New York. The company's shares are currently traded on the Tel Aviv Stock Exchange and on Nasdaq, and trading in the stock was suspended in Tel Aviv today. According to market estimates, the company aims to raise an amount in the tens of millions of shekels, or more, depending on demand, at a discount of 5-15% on the market price.

Foresight's share price has shot up by 314% since the beginning of December, bringing the company to a market cap of NIS 865 million (NIS 3.08 per share), with strong encouragement from reports in the US on Apple's intention of starting to produce an autonomous electric car within three to four years. Foresight, it should be emphasized, has no connection to te autonomous vehicle that Apple is developing. On Nasdaq, Foresight's share price fell by 12.7% on Friday, but it has risen by 330% since the beginning of the month, to $5.02 (each share traded on Nasdaq is equivalent to five shares on the Tel Aviv Stock Exchange).

Foresight Autonomous Holdings, through its subsidiary Foresight Automotive Ltd., develops computerized vision systems for road vehicles. It was founded in 2015 by its CEO Haim Siboni, who owns 13% of the company. The company became listed on the stock exchange in January 2016 when it merged into shell company Asia Development Ltd.

In mid-2017, Foresight's share price rose to NIS 8, giving it a market cap of over NIS 800 million at the time, following the acquisition of vision system company Mobileye by Intel for $15 billion, but from then until March this year the share price slid by more than 90%, as the company failed to sign substantial contracts with any of the leading auto manufacturers. Since the low in March, the share price has risen eight-fold.

In June last year, Foresight reported a contract with Elbit Systems Land, a subsidiary of Elbit Systems for incorporating its image processing software into Elbit Systems Land products and marketing it around the world. The software will be used in military and security land vehicles, including unmanned vehicles. In July this year, Foresight reported that it would carry out a pilot program for using its system for mass screening for the coronavirus. The technology was examined for several months by the Meuhedet health fund.

Published by Globes, Israel business news - en.globes.co.il - on December 27, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Foresight Automotive Ltd.'s QuadSight system / Photo: PR
Foresight Automotive Ltd.'s QuadSight system / Photo: PR
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