RENO, Nev. - Aqua Metals, Inc. (NASDAQ: NASDAQ:AQMS), a company specializing in sustainable lithium-ion battery recycling, announced today its plan to sell shares of its common stock along with warrants to purchase additional shares in an underwritten public offering. The entirety of the securities in this offering will be sold by Aqua Metals itself.
The company also intends to provide the underwriters a 30-day option to buy up to an extra 15% of the shares and warrants to cover any over-allotments. The pricing of the offering is anticipated to be set around Wednesday, May 15, 2024, depending on market conditions, and there is no guarantee regarding the completion or the final terms of the offering.
The proceeds from the offering are earmarked for working capital and general corporate purposes. The Benchmark Company, LLC is managing the offering process as the sole book-running manager.
Aqua Metals has made a registration statement for this offering, which the Securities and Exchange Commission (SEC) has declared effective. The common stock and the warrants, as well as the common stock underlying the warrants, will be freely tradable, although the warrants will not be listed on the Nasdaq exchange.
A preliminary prospectus supplement concerning the offering has been filed with the SEC and can be accessed on their website. This press release does not constitute an offer to sell the securities, nor a solicitation of an offer to buy them, in any jurisdiction where such an offer or solicitation would be unlawful before registration or qualification under the securities laws of that jurisdiction.
Aqua Metals is known for its patented AquaRefining™ technology, which offers a more sustainable and lower-emission recycling process for recovering materials from used batteries. This technology is part of the company's efforts to provide solutions that support the supply chains of energy storage and electric vehicle manufacturing.
This news is based on a press release statement and the offering's success will be subject to market conditions and other factors. Aqua Metals has cautioned that forward-looking statements related to the offering involve risks and uncertainties, and actual results may differ materially from those anticipated.
InvestingPro Insights
As Aqua Metals, Inc. (NASDAQ: AQMS) prepares for its public offering of stock and warrants, insights from InvestingPro reveal a mixed financial landscape for the sustainable lithium-ion battery recycler. With a market capitalization of approximately $53.31 million USD, the company shows a significant revenue growth of 525.0% in the last twelve months as of Q4 2023. Despite this growth, Aqua Metals holds a negative gross profit margin of -25028.0% over the same period, indicating substantial costs outweighing revenue.
InvestingPro Tips highlight that Aqua Metals currently holds more cash than debt, which could be a positive sign for potential investors considering the liquidity and financial stability of the company. Still, analysts have concerns about the company's profitability, noting that Aqua Metals is not expected to be profitable this year and has been quickly burning through its cash reserves. Moreover, the stock has experienced high price volatility, which may be a consideration for investors with a lower tolerance for risk.
For those interested in a deeper analysis, InvestingPro offers additional tips on Aqua Metals, including its valuation and performance metrics. To access these insights and more, readers can visit InvestingPro and use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 15 more InvestingPro Tips available, investors can gain a comprehensive understanding of Aqua Metals' position in the market and make informed decisions.
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