In news this morning, Sigma Labs (SGLB) is announcing a capital raise of $5.8 million, and is uplisting to the NASDAQ capital market from the OTC, effective today.

The common stock and the warrants will begin trading on the NASDAQ Capital Market under the symbols “SGLB” and “SGLBW,” respectively, effective as of market open today and the offering is expected to close on February 21, 2017


Sigma Labs (web site) develops and engineers advanced, in-process, non-destructive quality inspection systems for commercial firms worldwide seeking productive solutions for metal-based 3D printing, and other advanced manufacturing technologies. Sigma has a proud Los Alamos legacy and a future rooted in bringing advanced materials and processing solutions to clients worldwide. It was founded in 2005 by high-level scientists from the world-renowned Los Alamos National Lab. The company went public in 2010 with the commercialization of the breakthrough PrintRite3D® system.

Sigma Labs develops manufacturing and materials technologies and R&D solutions for first-tier integrators like Boeing, GE Aviation, Honeywell Aerospace, and other commercial firms around the globe, and has current contracts with Federal Government and private industry clients to develop technologies from their conception through the design, building, and testing of prototype systems by integrating sensing, software, materials, and manufacturing technology risk-reduction solutions.


The Offering

The offering consists of 1,410,000 units (“Units”) at an offering price of $4.13 per Unit, with each Unit consisting of one share of the Company’s common stock and one warrant, with each warrant giving the investor the right to acquire one share of common stock at an exercise price of $4.00 per share. The shares of common stock and associated warrants are immediately separable and will be issued separately.

Gross proceeds to the Company from the Offering will be approximately $5.8 million before deducting underwriting discounts and commissions and other estimated Offering expenses payable by the Company. The Company has granted the underwriter a 45-day option to purchase (i) up to 211,500 additional shares of common stock at the public offering price per Unit less the price per warrant included in the Unit and/or (ii) additional warrants to purchase up to 211,500 additional shares of common stock at a purchase price of $0.01 per warrant to cover over-allotments, if any. The Offering is expected to close on February 21, 2017, subject to customary closing conditions.

The common stock and the warrants will begin trading on the NASDAQ Capital Market under the symbols “SGLB” and “SGLBW,” respectively, effective as of market open today.  All Unit, share and per share and Unit amounts described above reflect a 1-for-2 reverse stock split that became effective as of today.

Dawson James Securities, Inc. acted as the sole underwriter for the offering.


Obviously uplisting to NASDAQ is a huge milestone for this company, and the increased exposure to both retail and institutional investors comes at a time when revenues should be strongly ramping up based on prior news from the company

As many investors are aware, financing deals are typically preceded by a quiet period and are then followed by strong news flow. I expect we will be hearing more from Sigma Labs and the company’s near and longer term projects soon with this financing deal completed.

I began buying shares of SGLB earlier this week, and will have a feature article on the company soon, including a Q&A with the CEO of Sigma Labs, Mark Cola.

I believe SGLB will be the best performing 3D printing stock during 2017 for reasons I’ll discuss in future articles.


Disclosure: I own shares of Sigma Labs (SGLB). I have not been paid by any company or any person for this update.

 

Best wishes for profitable investing,

Graphene 3D Lab Inc. gary siig

 

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