Nano Dimension raises $12m on Nasdaq at 21.9% discount

Nano Dimension DragonFly Pro System  photo: Nano Dimension

The company planned to issue its ADS for $1.90, but settled for only $0.75.

3D printer manufacturer Nano Dimension (TASE: NNDM) has completed a $12 million financing round on Nasdaq at a 21.9% discount on the market price. The company's share plunged 10.7% on Friday on Nasdaq in response, and is down 8% today on the TASE.

The financing round was held according to a prospectus filed by the company over two months ago, following a delay resulting from the US governmental shutdown, which also affected the US Securities and Exchange Commission (SEC). In filing the prospectus, Nano Dimension said that the price of the American Depository Share (ADS, a security that tracks a share listed on a non-US stock exchange) was $1.90, but the offering eventually took place at only $0.75 per ADS. The company issued 16 million units. Every unit included an ADS and a five-year warrant on a further ADS at a $0.86 strike price. $12 million gross was raised in the offering, amounting to $11.2 million net of expenses. The amount raised could increase by $1.8 million if AGP, the underwriter for the offering, exercises its 45-day option to buy the company's ADS. Adv. Oded Har-Even from the ZAG S&W law firm advised the company.

Surging revenue

Nano Dimension has earmarked $7 million of the offering proceeds to bolster its global sales and marketing effort, $2 million to increase its production capacity, and the rest for working capital and general business needs, including licensing agreements. Nano Dimension had $7.5 million in cash and cash equivalents at the end of the third quarter, after raising $13.8 million in a discounted ADS offering in February 2018.

Nano Dimension, managed by CEO Amit Dror, manufactures 3D printers capable of printing various electronic components. The company's revenue shot up 745% to $3.4 million in the first three quarters of 2018, and its net loss was cut from $13.3 million in the first nine months of 2017 to $11.5 million in January-September 2018.

Published by Globes, Israel business news - en.globes.co.il - on February 3, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

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Nano Dimension DragonFly Pro System  photo: Nano Dimension
Nano Dimension DragonFly Pro System photo: Nano Dimension
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